The Hindu Business Line : Markets edgy over sharp fall in global indices

THE Indian stock markets were edgy today following the sharp fall in global stock markets and selling by foreign funds. However, the BSE Sensex closed just one point higher at 3022.25 and on the NSE, the S&P CNX Nifty closed four points down at 966.20.

According to traders, the Sensex represents only 30 shares, which moved up mainly due to gains by HLL and some other blue chips. The market sentiment is quite weak.

In the US, the Dow Jones Industrial Average closed 106.40 points down at 7765.75, the Nasdaq Composite was down 15.58 points at 1169.35 and the FTSE on London Stock Exchange was down 122.60 points at 3616.8.

Brokers said there were domestic institutional purchases in index stocks that led to stock prices remaining steady.

Some of the stocks in which active buying were seen included HLL, Nestle and Hero Honda. In addition, creeping acquisition by some companies' parents also lifted the market sentiment, brokers said.

However, they said the mood was still bearish as there was hardly any positive news in the market.

Brokers said the continuous offloading by FIIs was being absorbed by domestic institutions led by LIC, but in case it stops, the market would fall sharply.

In today's trading, technology stocks were the major losers. Frontline technology stocks like Infosys, Satyam Computers, Digital GlobalSoft and Wipro were in the losers' list. The selling in these counters was due to the weakness in the international markets.

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