Sensex snaps winning streak

Mumbai, Nov 21 | Updated: Nov 22 2005, 06:46am hrs
The equity bourses started the week on a negative note, snapping the six-day winning streak as investors went into selling mode. Though the indices moved up in the first hour of the trading session, the 30-share Sensex of the Bombay Stock Exchange (BSE) shed 75.91 points to close at 8,610.74. The S&P CNX Nifty of the National Stock Exchange (NSE) ended the day at 2,602.50, losing 17.55 points.

The early gains were wiped off as players began to unwind their positions in the derivatives market ahead of the expiry of the November contract on Thursday. A medium to weak trend in the Asian markets also affected sentiments. Market players, however, said there was nothing to worry as some amount of correction was expected especially after an over 1,000-point rise in the last 12 sessions.

There was some amount of unwinding of positions by a section of operators. The mood is cautious and the markets will remain range-bound till the rollover of the derivatives contracts happens, said a dealer from a domestic brokerage.

The Sensex opened the day higher at 8,699.27 and moved further northwards to touch an intra-day high of 8,713.10 during morning trades, before dipping and remaining in the red for the rest of the session. Most of the sectoral indices also ended in the red with the BSE Bankex and BSE Metal both losing more than 100 points each.

The market breadth was weak with declines at 1,720 outnumbering advances at 756 by a huge margin. As many as 218 stocks hit the lower circuit on Monday. The turnover on BSE and NSE was lower at Rs 2,799.43 crore and Rs 5,619.92 crore, respectively.