BSE Sensex ends flat after 141-point fall, experts warn sell-off could continue

fe Bureau Posted online: Friday, Feb 07, 2014 at 0000 hrs
Mumbai : BSE Sensex ended flat on Friday after a 141-point fall seen between 1:00 pm IST and 1.07 pm IST trimmed gains made by benchmark indices in the morning.

The BSE barometer Sensex ended 65.82 points or 0.32% higher at 20,376.56 points, while NSE’s Nifty ended 26.90 points or 0.45% higher at 6,063.20 points ahead of the US payroll data which is expected to allay concerns over global growth.

Market observers feel triggering of stop-losses might have led to the sharp fall seen earlier in the day. “Markets are seeing low volumes. This combined with shorting in index futures could have caused today’s slide,” said Sahil Kapoor, chief technical strategist, Edelweiss.

Asian indices remained firm with the Nikkei up 2.17%. Hang Seng (1%), Kospi (0.77%), Straits Times (0.83%), Jakarta Composite (0.95%) and Shanghai Composite (0.56%) were the major gainers.

However, experts warn that sell-off in developing markets is likely to continue. “The negative sentiment is pretty much in place so you can expect a lot more selling,” said Mark Mobius, executive chairman, Franklin Templeton, in a media interaction. Foreign institutional investors (FIIs) have sold $186 million worth of Indian equities in 2014.

Among sectoral indices, BSE Metal (2.66%), BSE Realty (1.04%) and BSE Healthcare (1.69%) were the major gainers. Among individual stocks,

Tata Steel (6.39%), Sesa Sterlite Ltd (3.66%) and Sun Pharmaceuticals Industries (2.80%) were the major gainers.