Sensex sheds in a weak market trading

Thebullishtrends: Though the market breadth was positive in opening trade but it could not sustained in the second half of the day. Sensex sheds 372 points and closed at 17,221.74 points. Infact Indian markets followed the Asian markets in the opening trade as all Asian markets opened in higher levels except Hang Seng and Sri Lanka markets. Hang Seng lost 550.90 points and closed at 213,539.27 points and Srilanka Markets closed with a marginal loss of 15.68 points and closed at 2436.71 points. But all European markets closed with gains.

The market breadth is negative today. Reliance Capital announced Q 3 results today. Reliance Capital net up by 86% at Rs,135 cr for Dec'03 quarter end. NTPC share price slashed to Rs.204(-8%) due to the profit booking inspite of the reports stated that the company plans to invest Rs.1,729 crorefor the development of Jharkand coal mine.

Severe liquidy crunch due to marginal calls triggered by the brokers and investors funds tied up with Reliance Power IPO was helped bears to take the grip on the market today.The market breadth is negative in BSE 2328 share prices declined as compared to 400 share prices advanced.16 shares remain unchanged but 23 out of 30 scrip prices declined today.

Today the finance minister has announced some more measures will be taken to moderate the fund flows. He said that there was a need to moderate some capital inflows without hurting the flow of capital that stimulate the economy.