FII buying boosts sentiment

MUMBAI, June 4: Pivotals led by FERA scrips firmed up further on the Bombay Stock Exchange (BSE) today mainly on interested buying by forei...

MUMBAI, June 4: Pivotals led by FERA scrips firmed up further on the Bombay Stock Exchange (BSE) today mainly on interested buying by foreign institutional investors (FIIs) and local speculators. After a firm spell, share prices declined slightly at the end on profit-taking. The volume of business remained better.

The BSE sensitive index declined from the sessions’ best level of 3888.73 to finish at 3861.42 with a net gain of 22.57 points compared the previous level of 3838.85. The BSE-100 index also moved up further by 11.22 points to 1656.06 from the previous level of 1644.84.

width="1px" height="1px" style="display:none;">

Brokers said the fresh buying by FIIs followed by the recommendations regarding full convertibility of the Indian rupee in the coming three years. This boosted the sentiment as convertibility will encourage FIIs to invest in the Indian capital market. FIIs made considerable purchases at the leading counters like Castrol, Hindustan Lever, Larsen, ACC, BHEL, Tata Tea and HDFC. Marketmen said that domestic institutions led by UTI pressed for sales in counters like MTNL, Nestle, BHEL, Reliance and others while the local operators made good purchases in select counters.

Story continues below this ad

SBI remained the most active scrip with a turnover of Rs 224.86 crore in the total volume of Rs 708.85 crore, followed by ITC Rs 139.53 crore, Reliance Rs 73.62 crore, Telco Rs 35.41 crore and Hindustan lever of Rs 19.11 crore.ACC spurted by Rs 88.75 to Rs 1204.75. BHEL gained Rs 18.50 at Rs 444.50, Hind Lever Rs 27.25 at Rs 1239.75, Nestle Rs 19.75 at Rs 280.25, Castrol Rs 22.50 at Rs 465.75, HDFC Rs 40 at Rs 3305 and Glaxo Rs 11.50 at Rs 331.50. SBI moved up further by Rs 2 to 321.50 on speculative support.

However, MTNL dropped by Rs 5.75 to Rs 281.25 on selling pressure. Tata Chemicals, Ashok Leyland, Ceat, Excel, Sterlite and Raymond remained subdued. In the cash group, Bayer rose by Rs 20 to Rs 1820, Infosys Tech by Rs 17.25 to Rs 1544, Tata Information Tech by Rs 76 to Rs 838.25 and Thomas Cook by Rs 31 to Rs 1289 on investment support.

On the National Stock Exchange (NSE), share prices soared on the first day of the current settlement. The NSE-50 index started higher at 1081.55 and rallied up to 1090.95 and later closed at 1085.75, showing a smart gain of 12 against the last level of 1073.75.