NEW DELHI, Oct 6: Bearish conditions gathered momentum on the Delhi Stock Exchange on Monday with most of the heavy weight stocks declining further on offloading by foreign and domestic financial institutions coupled with weak buying support. The DSE index dropped by 3.23 points at 808.42 points.

Stock brokers said fears that railway freight likely to be raised shortly brought nervousness among major participants who preferred to reduce their positions. Reports of a poor showing by core sector in August also dampened the sentiment. Some brokers said suspension of trading on the National Stock Exchange following failure of satellites also contributed to the dull market conditions.

Reliance Industries dropped by Rs 1.30 to close the day at Rs 357 after dipping to Rs 352.70, but late buying by speculators at lower levels helped the scrip to minimise the earlier losses.

State Bank of India dropped by Rs 1.20 at Rs 264.80 after touching Rs 262.70 on selling pressure.

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