Gulf Rumours Take Its Toll
The sentiment on the National Stock Exchange (NSE) slumped towards the close of trading yesterday. The market opened firm at 992.15, touched a high of 997.80 and a low of 984 before closing at 988.85, a drop of 2.85 points.
According to sources, at around 3:15 pm rumours of further tension in the Gulf region hit the market, resulting in panic selling. There were also reports of delivery-based selling at the ITC counter. The scrip closed at Rs 617 after touching a high of 632.
The market looks brittle for the moment and it is on the higher end of the trading range. This is when the market becomes more prone to rumours, said a dealer with a foreign brokerage.
Raasi Cement was among the major gainers, closing with a gain of 9.05 per cent at Rs 162.65 over the previous close of Rs 149.15. Its traded turnover of Rs 3.3 crore. The other major gainers include MTNL, which closed at Rs 234 over its previous close of Rs 226.40, gaining 3.36.
Market sources said there was sustained foreign fund buying interest in counters such as Corporation Bank, LML and Nestle. Hectic activity was also seen at SmithKline Pharma, which announced a 1:1 ratio yesterday. The scrip closed at Rs 602.50 over its previous close of Rs 588.25, a gain of 2.42 per cent. It registered a turnover of Rs 11.62 crore.
The HDFC Bank scrip closed at Rs 64.70 over its previous close of Rs 63.20, gaining 2.37 per cent. Gujarat Ambuja Cement was among the main losers, closing at Rs 244.10 (Rs 255.95), drop of 4.63 per cent. In the demat segment, there was a negotiated deal of 50,000 shares at an average price of Rs 239.
The demat segment saw a turnover of Rs 4.03 crore with 3.37 lakh shares changing hands. The exchange registered a trading turnover of Rs 1,347.48 crore with over 4.46 crore shares changing hands.
Meanwhile, equity prices fell further as weak spell prevailed at the OTCEI due to increased selling pressure. The composite index closed at the intra-day low of 114.53, a marginal decline of 1.05 points over the previous close of 115.58. The total turnover for the day was Rs 33.82 lakh involving 19,355 shares and debentures.