Sensex declines by 16.65 pts

Brokers said this sentiment was affected mainly because of the absence of speculative support. The FIIs preferred to stay away from the market while the domestic institutional investors made purchases in pharma counters. The firm trend prevailed in the Asian markets did not saw any positive impact on the market trend.

Most Asian stock markets opened sharply higher on growing expectations of a US interest rate cut and hopes that Japan is ready to deal withits massive bad loan problems. In Tokyo, the Nikkei stock average of 225 issues closed at 13,909.37 points, up 185.53 points or 1.35 per cent from Friday. Hong Kong’s Hang Seng index surged 3 per cent to close at mid day at 7,934.16 points.

Pharma shares were in limelight with Glaxo, Nestle, Ranbaxy, Knoll Pharma, Pfizer, Rhone Poule, Smithk Pharma and Wockhardt showing substantial gains on heavy purchases. However, these scrips failed to lift the index as heavy selling in Bajaj Auto, ITC, MTNL and SBI wiped out the gains.

The total turnover was Rs 1483.42 crore. Satyam Computers gained by Rs 20.50 to Rs 571, Zee Tele by Rs 53.50 to Rs 723.75 and Pentafour Software by Rs 10.75 to Rs 738. ITC dropped by Rs 8.50 to Rs 702.25 and SBI by Rs 3.40 to Rs 207.60.

Meanwhile in NSE, equities failed to maintain early levels and declined towards the end of the trading session on profittaking by local funds and institutions. The S&P CNX Nifty opened at 935.60 and closed at 927.90, showing a loss of 7.05. CNX Niftyjunior opened at 1546.50 and closed at 1557.80, with a gain of 11.35. S&P CNX 500 opened at 636.07 and closed at 634.64, with a minor loss of 1.40. CNX Midcap 200 opened at 555.20 and closed at 557.85, with a modest gain of 2.74. The total turnover was Rs 1919.23 crore from 598.47 lakh shares.