Markets bounce back despite FII selling streak

Written by fe Bureau | Mumbai | Updated: Oct 18 2014, 06:31am hrs
Benchmark indices bounced back on Friday, rising for the first time in three days. The BSE Sensex closed above the 26,000 mark, while CNX Nifty consolidated its position above 7,700.

However, foreign institutional investors' (FIIs) selling streak became the longest seen in more than a year on Friday. FIIs have been net sellers in each of the last five trading sessions; selling more than $700 million during this period.

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On Friday, FIIs sold $238 million worth of equities, while DIIs bought $122 million. YTD, FIIs have invested more than $13 billion in the Indian equity markets.

The market rally was led by gains in Bhel, which ended 3.40% higher. Among other Sensex scrips, Hero Motocorp (3.05%), HDFC Bank (3.04%), M&M (2.88%) and ICICI Bank (2.86%) were among the

major gainers.

Meanwhile, TCS fell more than 8% on Friday, posting the highest fall in more than five years as the IT player reported disappointing Q2 numbers.

It was a dismal week for the markets with the benchmark indices retreating in two of four sessions. The 30-share Sensex ended the week 0.72%, or 188.85 points, lower. On Thursday, tracking a global selloff amid concerns of a recession in Europe, the Sensex shed 349.99 points, or 1.33%.

Asian markets showed a mixed trend. The Jakarta Composite (1.56%), Hang Seng (0.66%) and Straits Times (0.43%) ended in the green. Meanwhile, Kospi (-0.95%), Shanghai Composite (-0.65%), Taiwan Taiex (-1.40%) and Nikkei (-1.40%) ended in the red.

Back home, 22 of the 30 Sensex stocks ended in the green on Friday. In the broader market, breadth was weak with 1,528 stocks traded on the BSE ending lower compared with 1,310 advances. Most of the 12 BSE sectoral indices ended in the green. The BSE Bankex (2.46%), BSE Capital Goods (1.86%) and BSE Consumer Durables (1.81%) were among the major gainers.

The NSE cash turnover on Friday stood at R17,006 crore, while that in the F&O segment stood at R2.56 lakh crore.