Cyclicals in the forefront

MUMBAI, NOV. 28. Old economy stocks remained in limelight, scoring impressive gains for the third consecutive session and took the Sensex close to the crucial 4046-resistance level on the Bombay Stock Exchange (BSE) on sustained buying support by speculators despite slowed down FII activity.

Ignoring all overseas negative factors and hesitant attitude by foreign institutional investors (FIIs), operators were busy enlarging positions in almost all key old economy shares solely for these scrips being at their bottom levels that provided excellent investment opportunity.

The uptrend in turn, market sources felt, aided the Sensex to reach close to the 4046-resistance which, if broken, unfolds a short rally till the Sensex touches 4250-level, another resistance mark.

After a subdued start at 3962.21, the BSE sensitive index changed its track with heavyweights such as Reliance, Tisco, Telco, SBI, MTNL, BHEL, Grasim, HLL and ITC rallying sharply, and rose to a high of 4038.64 before ending the day at 4023.92 against yesterday's close of 3969.20, showing a net rise 54.72 points or 1.38 per cent.

The BSE-100 index firmed up by 16.72 points to 2085.60 from the previous close of 2068.88.

Operators, however, had turned their backs on the market favourite IT counters, reportedly in the absence of worthwhile purchases by FIIs in past few days and unpredictable behaviour of the Nasdaq stocks market.

Shares of public sector undertakings met with good support from domestic institutions, led by Life Insurance Corporation.

In the specified group, 93 counters including 23 index-based shares registered smart gains while 48 others showed losses.

- PTI

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Section  : Business
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