Weakness continues

12 Feb 2009 | 17:12
Weakness continues

Markets closed in the red for the second consecutive day on the back of negative global cues. The main indices had started the day on a negative note following bad Asian cues. A recovery soon followed but was not sustained as weak European cues pushed the markets lower again.

While the Sensex closed 152.71pts or 1.59% lower at 9,465.83, the Nifty lost 32.65pts or 1.12% to close at 2893.05. The broad market indices outperformed as the BSE Midcap and Small Cap indices were up by 0.1% and 0.71% respectively. Market breadth was positive as A/D ratio was 1.2:1 on the BSE.

Most of the sectoral indices ended lower. The top losers were the BSE IT, Oil and Gas, Capital Goods and Bankex. The indices that closed higher were the BSE Realty and Auto indices. The top gainers from the BSE-30 were M&M, DLF, Rel infra and Sun Pharma. The top losers were JP Associates, Ranbaxy, Bharti and Infosys.

Our outlook on the market remains unchanged as we believe that they are in consolidation mode after the recent rise. We continue with our strategy of adopting a selective buying approach, especially on declines.