Auto index loses 151 points

Written by Markets Bureau | Mumbai, May 29 | Updated: May 30 2008, 05:37am hrs
A day after Tata Motors Ltd announced that they will raise Rs7,200 crore through three unlinked but simultaneous right issues for the high profile Jaguar and Land Rover deal, the shares of Tata Motors lost around Rs52.20 points or 8.22% on Thursday before finally closing at Rs 582.55.

Dealers said, "Investors anticipate a fall in the earnings per share of the stock post their dilution coupled with not so impressive results posted by the company, leading them to sell the stock."

Amongst the sectoral indices Auto sector lost the most on Thursday, mainly led by the slip of the Tata motors and Mahindra and Mahindra. BSE Auto index lost 151 points or 3.31% before finally closing at 4,410.81.

Meanwhile, the 30-share Sensex of Bombay Stock Exchange (BSE) after opening on the positive note ended the day in the red, losing 209.11 points or 1.27 before closing the day at 16,316.26. In line with this, even the broader S&P CNX Nifty of National Stock Exchange (NSE) closed at 4835.30 shedding 83.05 points or 1.69%.

On the derivatives segment, Nifty Futures contract for the month of June ended the day with a premium of 38.85 points at 4,871.15 points due to some long built up.

Analysts said, "Many long positions were rolled over indicating the optimism in the markets."

The rollovers stood at around 65% for the Nifty and the markets wide rollover stood at around 80% as against 70% for Nifty and 85% for the market wide position for the month of April.