Local operators and foreign funds came back to Dalal Street in full force on Thursday. Stocks rallied sharply as foreign funds and manipulators went on a buying spree after a downward correction which lasted four trading sessions. Recording one of its biggest jumps in the last several months, the 30-share BSE Sensitive Index (Sensex) settled with a gain of 90.18 points, or 2.52 per cent, at 3,668.07. The National Stock Exchange S&P CNX Nifty Index added 23.90 points to close at 1,142.25. The fancied Sensex had fallen by around 160 points in the last four sessions. “With Thursday’s pull-back, the market is once again back in the hands of foreign hedge funds and manipulators,” said a stock dealer. The market ruled firm throughout the session as the first quarter results of key companies trickled in. After the early volatility, buying support was witnessed in several new as well as old economy stocks. While automobile scrips were somewhat subdued on selling pressure, stock-specific action continued on the side counters. Satyam Computer, Associated Cement Companies Ltd (ACC), State Bank of India (SBI), Ranbaxy Laboratories and GE Shipping were some of the companies that announced impressive results, lifting the market sentiment amid concerns about the huge outstanding positions in the derivatives segment and slowdown in the inflows from foreign institutional investors (FIIs). “Many hedge funds and local manipulators had booked profits in the last four sessions. Many of them acquired stocks at low levels in April and early May. Hedge funds had pumped in huge money last month,” said another dealer.
