After opening the day with a negative gap of almost 177 points on Monday, the 30-share Sensex of the Bombay Stock Exchange (BSE) staged a smart recovery on buying support at lower levels. The BSE Sensex opened lower – in line with other Asian markets – as the US markets on Friday had closed in the negative with sizeable losses after data showed that US firms had cut 4,000 jobs. The BSE Sensex had a flat closing ending the day at 15,596.83 points, up 6.41 points or 0.04%. However, the broader S&P CNX Nifty of the National Stock Exchange (NSE) slipped by 1.45 points, or down 0.04%, to close at 4,507.85 points. Other major Asian markets ended the day in the negative. Nikkei was down 2.22%, Seoul Composite dipped 2.60%, and Taiwan Weighted slipped 0.89%.
A fund manager said that the market was expected to remain volatile for the next few days. He said, ?There are fears in the market that the US economy may be headed towards a recession and that is, in turn, sending ripple effects around the global indices and this may continue for some time. This also affected the Indian IT companies having substantial exposure to US markets.?
The BSE IT index was down 88.81 points, or 1.91%, to close at 4,570.89 points.