Sensex beats midcap,smallcap indices

Similarly,the mid-cap index has saw an erosion of 18.32 per cent during the period to close at 6,373.23 in the last day of trade in the previous month.

Meanwhile,the broader market key index Sensex has fallen by 13.09 per cent during the period under review to settle at 17,823.40 as on February 28.

During the review period,the mid-cap index witnessed its lowest closing level of 6,292.18 on February 10,2011,while the small-cap index reported its poorest close of 7,585.65 on the same day.

Mid-cap stocks and small-cap stocks are vulnerable to any movement in the stock market,so any good or bad news may see sharp reactions from them,an expert said.

According to market players,everything was going good in the mid-cap and small cap stocks but reports of stock price manipulations late last year in few companies,along with a string of negative news,including rising inflation,2G controversy and surging crude oil prices globally,has badly jolted the confidence of small investors.

They also added buying sentiments have been weak and there is an uncertainty when both these sectors will make a comeback in the near future.

The mid-cap and small-cap indices track the performance of companies with market capitalisations that are a fifth or a tenth of that of blue-chip firms.