Sensex snaps 5-day winning streak, closes 85 pts down
07 Feb 2012
The market snapped five-day winning streak on Tuesday, weighed down by capital goods, metals, auto stocks and heavyweights Bharti, Infosys & SBI. However, buying in oil & gas and private banks limited the downside. The Nifty closed below the 5350 level, falling 26.5 points to 5,335.15. Meanwhile, the Sensex dropped 85.11 points, to close at 17,622.20.
Devangshu Datta, Consulting Editor at Outlook feels the market is not likely to drop below 5300. "If it stays above 200 DMA (5225) there is no real cause for immediate concern," he says.
Even European markets were down with moderate gains as Greece missed another deadline for debt deal yesterday. Adrian Foster of Rabobank doesn't think there will be a very tidy conclusion to the Greek situation soon.
According to him, liquidity is going to continue to be a positive backdrop for equity markets, for risky assets around the world.
Shares of BHEL topped the selling list in late trade, falling 4.2%. Among major largecaps, Infosys, HDFC, Bharti Airtel and L&T were down 2-2.5%.
Metals stocks saw some profit booking as the respective index shot up over 27% since January. Tata Steel tanked 3.3% and Sterlite fell 2.4%. Hindalco, Coal India and Jindal Steel slipped around 0.5%.