Markets close flat amid volatility; broader indices outperform

03 June 2009

The markets saw consolidation for the second consecutive day and closed on a flat note. The sell-off in banking and select oil & gas stocks and in stocks like NTPC, SAIL, Infosys and Bharti capped the gains. However, buying in FMCG, cement, pharma, select metal and infrastructure stocks helped the indices.

The first half session of the trade was positive while second half session of trade was negative for the markets. The broader indices outperformed the benchmark indices today as well. Midcap and smallcap technology and shipping stocks were on the buyers' radar.

The 30-share BSE Sensex touched the 15,000 mark during the day, for the first time Since September 2008. It witnessed a swing of 312.84 points between an intraday high of 15,046.43 and low of 14,733.59, before closing the day at 14,870.90, down just 4.01 points or 0.03%.

However, the 50-share NSE Nifty shut shop above the 4500 mark for third straight day. The index closed 5.45 points or 0.2% higher at 4534.45, after seeing a swing of 96.3 points between day's high/low of 4574.90 and 4478.60, respectively.

Among the broader indices, the BSE Midcap Index was up 1.5% or 78.86 points, to settle at 5,325.54 and the BSE Smallcap Index rose 2.11% or 131.94 points, to 6,384.92.

Ashwani Gujral, Technical Analyst said, "The market is feeling tiredness at the top and you could see a down day in the next couple of days because it is not able to take out that 4,580-4,600 zone, which is a strong resistance zone. In case we break 4,450, we could go down to about 4,300 which is healthy."