Despite Dow recovery, Sensex fall continues

The Wall Street recovery failed to boost Indian markets on Thursday. Equities lost their early gains and generally moved downwards pushing the Sensex below the 3,100 level on the BSE due to nervous selling by operators.

Initially, the market attempted a smart rally on the back of a strong rebound on Wall Street where the Dow Jones Industrial Average and the Nasdaq Composite Index recovered by about 489 points and 61.18 points respectively.

Market sources said the 3,090 level is a strong support level for Sensex which will fall sharply if the index crossed this mark.

Sensex which rallied smartly at early stages rising to an intra-day high at 3,169.96, later met with strong resistance and dropped below 3,100-mark to end at 3,094.96 as against Wednesday’s close of 3,107.48, netting a loss of 12.52 points. The broad-based BSE-100 Index eased by 5.76 points to 1,575.81.