The DSE index after showing some rise at the initial stages slipped back to close 8.91 points down to close at 1069.66 points mostly due to drop in the prices of index-related cyclicals and some blue-chip stocks.

Marketmen said information technology sector stocks continued to take the centre stage after reports that the commerce and industry ministry had drawn up a major plan for IT industry, recommending 100 per cent foreign direct investment (FDI) through the automatic route for all operations that provide infrastructure for this industry.

They said reports of smart rise in the Nasdaq composite index and short-covering by bear operators on fears of further rise in the stock prices also fuelled the surge in stock prices.

``Activity continued to remain focus at software computer and telecommunication company stocks,'' said a DSE broker. Himachal Futuristic, the telecom equipment major stock, turned distinctly bullish mostly influenced by reports that the company was planning to raise funds through private placement of equity with FIIs, domestic mutual funds and financial institutions.

Himachal Futuristic share prices, after hitting an all-time high of Rs 1114.70 at mid-session on all-round buying, surrendered most of earlier gains largely on profit-taking and ended Rs 23.25 higher at Rs 1060.10.

Satyam Computer shares traded heavily amidst reports that the company had bagged orders to the tune of $70 million from two US companies and prices flared-up at a rapid pace to hit upper side circuit-filter after exhausting daily price movement limit of 8 per cent at new high of Rs 3104.50 over yesterday's close of Rs 2873.

Pentafour Software stocks remained locked and hit another upper end circuit-filter at Rs 1817.10 as against previous closing of Rs 1682.50 on steady inflow of buying by FIIs and domestic players. Silverline Industries in line with overall bullish trends, rallied to touch a record high of Rs 1045 on large-scale purchases by some knowledgeable circles amidst some short-covering but profit-taking at higher levels trimmed earlier gains and settled Rs 30.95 higher at Rs 1018.90.