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Infotech stocks hog the limelight, cyclicals weak on profit-booking 

Press Trust of India  
New Delhi, Jan 19: Except information technology and selective pharmaceuticals, cyclical stocks fell back to close lower on the Delhi Stock Exchange due to selling by profit-takers amidst absence of necessary buying support.

Cyclicals after showing some strength at the outset on the back of domestic institutions' selective support, surrendered earlier gains.

The Delhi Stock Exchange (DSE) sensitive index which registered some improvement at the outset of the session ended 16.89 points, or nearly 1.5 per cent down at 1141.41 points and failed to sustain higher levels after index-related stocks succumbed to profit-taking.

Stock brokers said the infotech segment stocks once again took the centre stage after the recently launched infotech funds by some mutual funds reportedly bought several stocks.

They said reports of overnight gains in the Nasdaq composite index fuelled soaring information technology stock prices. Prominent gainers among information technology stocks, Silverline Industries, Rolta India, Pentafour Software, DSQ Software, Aptech Ltd and Moser Baer, were the most bullish spots and locked at the day's upper end circuit-filter after exhausting daily price limit of 8 per cent.

On the other side, cyclical stocks such as Tata Loco, Tata Steel, and a few others, however, yielded sizeable to moderate grounds. ``Today's rally was restricted and only confined to a specific infotech sector and to some extent pharma and media'', felt a DSE broker.

``Sharp fall in heavy-weighted Hindustan Lever and ITC Ltd mainly pulled benchmark down'', said another stock broker.

Silverline, after opening with overnight strength at Rs 699 on sustained buying by some overseas funds and domestic mutual funds, soared to hit upperside circuit-filter at Rs 743. 95 after exhausting daily price limit of 8 per cent against its previous closing of Rs 698.95.

Pentafour influenced by impressive quarterly results traded heavily on revival of buying amidst some short-covering shot up by Rs 94.95, or 8 per cent to freeze at Rs 12 81.05.

Rolta India at Rs 377.90 (Rs 350.75), DSQ Software at Rs 1112.50 (1030.10), Aptech at Rs 1769 (1638) and Moser Baer at Rs 301.7 (283.80) also hit upper side circuit-breaker.

Zee Telefilms, after moving in a narrow range in early trading on limited activity, turned distinctly bullish after knowledge able circuits started buying activity and share prices went up by a whopping Rs 79.25, or 8 per cent to Rs 1106.25.

Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.

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