Selling pressure on Lyons Range

By A Special Correspondent

KOLKATA, SEPT. 16. Bourses country-wide witnessed panic conditions last week because of a deep plunge of sentiment in the wake of terrorist attacks on World Trade Center and Pentagon with hijacked U.S. Aircraft. The event in fact rocked the stock markets as well as the financial markets throughout the world.

The two markets in the U.S. remained closed ever since the attack and this added to the situation. As the U.S. was preparing to wage war on the terrorist, there was both panic and fear in the markets, and investors - both individuals and institutions - were displaying an exceptionally eager tendency to get out of the market. Lyons Range also followed the pattern as was the case with respect to the premier bourse at Mumbai.

The sell off following the terrorists action took a heavy toll of prices which came crashing down all along the list with the leading counters providing the vanguard. And, with major shares slumping heavily, the indices recorded substantial losses in all the centres.

For instance, the BSE's sensex plunged by over 157 points on the very first day of trading after the event and eventually closed at 2830.12 points compared to 3198.40 at close on September 7, while the CSE's 40-share index dipped to 1507.67 points from 1656.62 points.

All sections of the market, suffered losses with selected shares losing more ground. The closing prices on Friday, which also witnessed panic selling, will indicate the extent of losses suffered by the bourse as a result of the development and selling that was the order of the day for almost the whole of the week.

The sentiment continues to hopelessly despondent even as the week finished holding out prospects further erosion in values.

Buyers were by and large withdrawn from the market because of the prevailing uncertain conditions imparted by the terrorist attack followed by determined efforts on the part of U.S. administration to punish the wrong doers.

With the U.S. seeking co-operation of both India and Pakistan to launch their attacks on terrorist hide outs in Afghanistan, apprehension mounted over possibilities of war.

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