Sensex dips on FI absence

MUMBAI, April 13: Erratic growth in the carry forward rates, coupled with a number of stocks attracting backwardation and, the last trading day on the National Stock Exchange resulted in panic selling at index based counters today. Reflecting the mood, the BSE sensitive index, in the absence of institutional support, opened with a gap of 67 points, failed to sustain above the 4,100 mark and closed at 4,085.93 registering a net loss of 32.36 points. The BSE-100 index too dipped by 11.01 points to close at 1795.17 from the previous close 1806.18.

Foreign fund presence remained minimal as most them stayed away on extended Easter holiday. However, local institutions provided selective support. The closing rates showed widespread small to modest losses. The volume of business dropped.

Brokers said that further fall was due to continued selling pressure from operators and lack of support from foreign funds despite announcement of overall good export-import policy for 1997-2002. Disappointed by the higher thanexpected badla rates at the turn of the account, operators pressed fresh sales in line with squaring off business as the market will remain closed tomorrow on account of `Ambedkar Jayanti’.

On the NSE, pivotal prices reacted in brisk trading on the last day of the current settlement cycle. The NSE-50 index finished at 1159.45 suffering a loss of 32.95 points as against the previous close. The Midcap index settled down at 1531.05 as compared to the previous close of 1581.35. The total turnover on the exchange was Rs 1788.80 crore.