The DSE index finished 12.70 points down, or nearly 1.3% to close at 904.19 points following widespread fall in stocks value. Stock brokers said persistent fall in the technology-high Nasdaq for the last two straight sessions and reports of weakening Asian stock markets mainly triggered a fresh selling wave, particularly in IT and telecom sector stocks. They said FIIs which remained major buyers at several infotech company stocks in Tuesday's trading made sizeable selling largely on fears of a hike in interest rate by the US Federal Reserve.

The beginning of fresh settlement on the NSE and a sharp jump in the net profit by media major Zee Telefilms also failed to buoy the sentiments. Zee Telefilms's net profits had more than trebled to Rs 290 crore for the fiscal ended March 31,2000 against Rs 82 crore in the previous year. It plunged to hit downward circuit-filter after exhausting daily price movements band of 12% at Rs 621.65 against Tuesday's closing of Rs 706. Though, it rallied to Rs 748.90 at one stage on speculative activity.

"Shares failed to sustain higher levels as players preferred to take away profits at every rise in view of prevailing volatility". "There was some buying in selective IT stocks but mid-way selling wiped-off earlier gains", said another broker.

Infosys Tech fell sharply by Rs 315 to close at Rs 7700 largely in line with downtrends in Nasdaq which company's ADRs registered sizeable losses last evening. Satyam also declined by Rs 214 to Rs 3150 after rising to Rs 3400. Silverline Tech rallied to Rs 460 at mid-session but finished Rs 31.15 down at Rs 410 after players took away profits at higher levels.

Himachal Futuristic ended Rs 79.90 down at Rs 1000 while Global Telesystems hit downward circuit-filter at Rs 1200 against previous closing of Rs 1365.NIIT , Wipro , Aptech and SSI lost Rs 50.05, Rs 199, Rs 40 and Rs 273.55 to close at Rs 1865, Rs 2850, Rs 800 and Rs 2960 respectively after FIIs massive selling.

ACC ended Rs 6.95 down at Rs 120 despite reports that Gujarat Ambuja acquired an additional 4% stake in . L&T also ended Rs 2.85 down at Rs 212.45.