Shares move down in thin trading

UTI and other domestic institutions were reported to have bought chunks of Tisco, Telco, Bajaj Auto, Tata Tea, HDFC Bank, L&T, MTNL and Glaxo shares.

"The continuous attempts made by institutional operators to provide support at the lower end proved to be futile as demand was met with an increased supplyof stocks even at lower levels," said a BSE broker. Profit-booking coupled with attempts made by the bear operators to cover their positions on the last day of the trading cycle saw the stock prices of pivotals like Reliance, Tisco, E Merck and Cadbury (which enters the no-delivery phase from Wednesday), register losses to the tune of 1.5-2 per cent on an average.

Scrips like ABB and Philips also registered huge losses on account of continuous supplies at lower levels. Pentafour Software, which registered a phenomenal profit appreciation of over 45 per cent, was battered by operators. The stock hit the lower end of the price band at Rs 664 with 5.06 lakh shares changing hands.

Analysts explain the downward move as a much-needed technical correction. The stock, according to market players, was overvalued. Moreover, the stock had moved northwards in anticipation of better results earlier.

NIIT hogged the limelight with two bulk deals transacted in the trade-to-trade segment of the exchange.