The BSE benchmark Sensex fell by 29 points on Thursday in choppy trade as funds booked profits in the wake of the recent rally and shifted their investments to other stocks available at cheaper rates.
The 30-share index, which fell from a two-and-a-half-year high in the previous session, declined further by 28.70 points to 17,909.46 in today’s trade. During the day, the gauge moved between a range from 17,978.56 to 17,868.73 points.
Yesterday, the benchmark had touched 18,167.22 points, a level last seen in February, 2008.
Similarly, the broad-based National Stock Exchange index Nifty fell by 7.40 points to 5,378.75, after trading in a range of 5,399.20 and 3,360.60 points. It had surged to a recent high by crossing the 5,400-level in the previous session.
Marketmen said the trading sentiment turned mixed as funds indulged in booking their profits after the recent rally on the two bourses and shifted their money to other fundamentally strong stocks available at cheaper rates.
A weak trend in Asian region following reports of slowing growth in China and the lower opening in Europe this afternoon also influenced the market sentiment, they said.
China’s annual economic growth slowed to 10.3 per cent in the second quarter from 11.9 per cent in the first quarter, a shade weaker than expected in response to credit curbs and the fading of the fiscal stimulus.
In the 30-BSE index components, 14 stocks gained while 16 ended in the negative zone. Profit-booking was more confined to recent star performers in the realty, refinery, capital goods and banking sectors.
Bucking the general weak trend, index heavyweight Reliance Industries rose by Rs. 3.90 to Rs. 1,072.95, while the second largest firm by m-cap, Infosys Technologies, gained Rs. 16.65 to Rs. 2,758.95. The two carry nearly 23 per cent weightage on the Sensex.
Strong demand for stocks of Tata Group companies like Tata Power, Tata Steel and Tata Motors, besides ACC Ltd, also lent support to the market and helped avert any major fall.
