Sentiment stays subdued

MUMBAI, MAY 23: Share prices remained subdued on the Bombay Stock Exchange BSE today mainly in absence of speculative support due to end-...

MUMBAI, MAY 23: Share prices remained subdued on the Bombay Stock Exchange BSE today mainly in absence of speculative support due to end-account considerations. After a steady spell, industrials declined as the session progressed on profit taking. The closing rates showed widespread small to modest losses. The volume of business remained thin.

The BSE sensitive index declined from the sessions8217; low of 3742.35 and dropped below 3700 mark during the mid-session but recovered to finish at 3706.37 with a net loss of 24.41 points compared to the previous level of 3770.78. The BSE-100 Index also lost 10.40 points to 1597.73 from the previous level of 1608.13.

Brokers said that the sentiment was affected mainly due to lack of buying support and it being the last day for the current settlement. Most of the operators were covering their outstanding business Speculative activity was restricted as marketmen were awaiting the announcement of the financial results of Tata Steel at its board meeting today. The effect of the results would be ascertained on Monday when the market reopens for transactions.

The total turnover remained low at Rs 585.95 crore. Reliance was in the forefront with a turnover of Rs 165.95 crore, followed by SBI of Rs 130.03 crore, ITC of Rs 107.43 crore, Tisco of Rs 35.92 crore and Telco of Rs 25.83 crore.

Hero Honda rallied from Rs rallied from Rs 464 to Rs 510 on short covering before closing at Rs 499.75 with a handsome gain of Rs 35.75. Tata Steel declined declined from Rs 177.75 to Rs 173.25 on profit taking. SBI reacted from Rs 305 to Rs 300.25 and Tata Tea from Rs 290 to Rs 286.25 on profit taking.

On the National Stock Exchange NSE share prices declined on fresh selling pressure. After a steady start, prices fell gradually to close weak. The market trend could be seen in the NSE-50 index, which opened steady at 1037, but dropped to 1028.75 before terminating at 1033.70, showing a fall of 3.50 from the last level of 1037.20.

The Midcap started better at 1114.10 and rose further to 1114.25. later closed at 1111.70, still revealing a loss of 2.15 from yesterday8217;s 1113.85. The total volume was Rs 1220.94 crore.