MUMBAI: The stock market virtually discounted the news of North Korea's nuclear tests as the Bombay Stock Exchange benchmark, Sensex, closed flat at 12365.83 despite weak Asian advices.
Share prices staged a smart recovery from the initial lows on the back of fairly good buying support from investors, who are awaiting second quarter earnings to be released this week.
The Sensex initially dropped to a low 12261.49 in line with Asian markets, which reacted negatively to news of North Korea's first-ever nuclear weapons test.
The 30-share sensitive index, however, met with good buying support and recovered its losses to close the day at 12365.83, down by 6.98 points against last Friday's close of 12372.81.
On the National Stock Exchange, the S&P CNX Nifty moved down by 2.55 points to 3567.15.
In Asian markets, South Korea's Kospi ended down by 32.60 points and the Hang Seng by 228.15 points.
Investors seemed unwilling to make any large commitments ahead of announcements of corporate results. Institutional investors were believed to be buyers at the lower price levels, brokers said.
The market sentiment improved after the midsession on good buying interest in the small-cap and mid-cap segments PTI