April inflation nos spook market; Nifty ends below 5500

16 May 2011

With every passing day, the hope of a pullback rally, which started six trading sessions back for the market, seems to be fading. The petrol price hike coupled with discomforting inflation numbers haunted markets today.

The immediate resistance level for the Nifty now appears to be 5600. Crude again dipping below 100 levels was the only positive cue one can take going ahead.

The markets opened on a weak note echoing weak Asian and European markets. Rate sensitives like auto, banks and realty were trading edgy before inflation numbers. April inflation data provided spunk for the bears and dragged markets even lower.

The Sensex shut shop at 18345.03 down 186.25 points or 1.01% and the Nifty closed at 5497.35, down 47.40 points or 0.85%. The breadth of the market was also sluggish. About 1101 shares advanced, 1719 shares declined, and 821 shares remain unchanged.

Top percentage gainers on the BSE - Halonix, Mediaone Global, Cravatex, Sabero Organics and Renaissance Jewellery were up 20% each.

Top percentage losers on the BSE - Excel Crop Care, Kinetic Eng, Trend Electron, Yuken India and Paramount Print were down 10-16%.