MUMBAI, Oct 6: Aggressive buying by domestic institutions finally succeeded in arresting the panic on the local bourses. Short covering on the last day of the trading session on the NSE, coupled with FIs buying to absorb the sales pressed by the FIIs finally arrested the fall of the BSE-30 share Sensitive index at the day's low of 2,820.77 points. In the final countdown the index closed at 2,919.74 points registering a net gain of 41.67 points. The S&P CNX Nifty index also rebound to close at 840.75 points witnessing a gain of 5 points.The figures released by the local bourses brings to light the concentrated move made by the domestic institutions to absorb the sales pressed even at the higher levels. While the FIIs sold stocks worth Rs 87 crore on the BSE and NSE, domestic institutions bought stocks worth Rs 82 crore. Reflecting the roller-coaster move of the heavy weight stocks, the index found support at the crucial level of 2,820 to finally bounce back above the psychological barrier of 2,891 to closeat 2,919.74 the day's high.
According to market sources, FIIs were rumoured to have sold stocks like Infosys Technology, ACC, BFL Software, ITC, HDFC Bank, Reliance, Zee Telefilms, HPCL, Ponds, Bajaj Auto, Bank of Baroda, Larsen, Pentafour Software, Telco, ICICI, Corporation Bank and SBI. The continous sales pressed by the FII holding at the counters of PSU banks and domestic finacial institutions' counters in these companies reflect the attempt made by the FIIs to reduce their exposure at these counters.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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