Date:09/08/2008 URL: http://www.thehindu.com/2008/08/09/stories/2008080955511500.htm

Business

Sensex gains 51 points on late buying

MUMBAI: In volatile trading, the Bombay Stock Exchange overcame the initial setback on Friday with the benchmark Sensex gaining over 50 points to remain above the 15000-level at close after falling below this crucial level in late morning trade.

The 30-share bellwether index on the BSE concluded at 15167.82, a rise of 50.57 points, on fag-end buying support in metal and capital goods stocks.

The Sensex moved erratically between 15228.82 and 14888.12.

The key index had gained 589.95 points, or 4.05 per cent, in four straight days.

The S&P CNX Nifty of the National Stock Exchange edged up further by 5.65 points to 4529.50 from the last close.

Marketmen said inflation crossing the psychological 12 per cent for the week ended July 26 impacted investor sentiment.

The Sensex had opened weaker by 117 points.

However, trading was bolstered at the fag-end of the session following the announcement of investment policy for urea, and linking cost of production to the import parity price.

The new urea investment policy was approved by the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Manmohan Singh.

Rupee steady

The rupee erased early losses to end almost unchanged on Friday, buoyed by heavy dollar selling by a large foreign bank and a firm domestic stock market finish and closed steady at 42.07/08 a dollar on Friday.

It recovered from the intraday low of 42.29 a dollar.

“A large foreign bank dumped dollars around the 42.20 per dollar mark and that has led to a lot of stop losses being triggered,” said a dealer at a state-run bank. — PTI