Sensex regains 18,000 mark on buying at lower levels, global cues

In volatile trading, the Bombay Stock Exchange (BSE) Sensex today regained the 18k mark - up 19 points at 18,012 - on buying at lower levels in capital goods and banking amid positive global cues, especially from Europe.

Brokers said Sensex closed on a flat note, despite higher intra-day gains, because of profit booking two days ahead of expiry of May derivative contracts.

FIIs continued selling for the eighth session in a row since May 12 and they pulled out Rs293.56 crore yesterday as per the provisional data available.

The 30-share BSE index, Sensex, touched a high of 18,110.39 in afternoon on firm Asian and European cues. However, it fell back to a low of 17,933.94 on late profit-booking before settling at 18,011.97, showing a mere gain of 18.64 points or 0.10%.

Yesterday, it had tumbled 333 points or 1.82% to close below the 18,000 mark touching 2-month low of 17,993.33.

The NSE 50-issue Nifty reached a high of 5,422.60 in mid-session trade but finished at 5,394.85, up 8.30 points or 0.15%. Yesterday, it had plunged 100 points or 1.82%.

Rise in L&T, ICICI Bank, RIL, TATA Steel and Infosys Tech pushed the market up, but fall in ITC, SBI, TCS, HDFC Bank and ONGC restricted the gains.

"Volatility could escalate ahead of the F&O expiry. There could be a minor bounce after a steep sell-off but avoid buying aggressively as there could be further weakness," said Amar Ambani, head of research (India Private Clients) at IIFL. Reflecting limited retail investor participation, where the second-line stocks underperformed the Sensex, the total market breadth remained negative as 1,432 stocks closed with losses against 1,336 that ended with gains on the BSE.

Asian markets, barring China, settled in the green although with limited gains. European indices too were trading firm in afternoon deals after sharp dips yesterday.

From the Sensex tally, L&T rose 1.75%, Cipla (1.62%), Hero Honda (1.33%), ICICI Bank (1.27%), Tata Steel (1.24%), REL Com (0.92%), RIL (0.80%), BHEL (0.73%) and Infosys Tech (0.33%).

However, REL Infra dropped 1.88%, DLF (1.84%), ITC (1.45%), SBI (1.39%), TCS (1.07%), Hindalco (0.98%), ONGC (0.73%) and HDFC Bank (0.40%).

Among the sectoral indices, BSE-CG firmed 152.73 points or 1.19%, while FMCG declined 35.42 points or 0.94%.

The total turnover was up at Rs2,607.78 crore from Rs2,371.47 crore yesterday.