Indices close flat

01 June 2005

The indices opened strong, continuing from yesterday's firm closing. Gains in two-wheeler stocks like Hero Honda and Bajaj Auto held the markets up. Talks of a hike in fuel prices, helped the oil marketing companies to trade marginally in the positive.

Indices gained close to half-a-per cent in the morning itself and maintained a steady trend till early afternoon. News of a further postponement of the oil price hike after left opposition, saw the oil stocks losing ground. After slipping marginally into the negative by late afternoon, the indices managed to close flat.

The Sensex closed at 6730, up 15 points and the Nifty at 2088, no change from yesterday's close. Nifty June futures discount to the spot remained at 24 points.

Among Nifty stocks, HLL, Colgate and Reliance Energy were the major percentage gainers while SAIL, TCS and NALCO were the major losers.

Yesterday, US markets closed lower after insurance major AIG issued its revised accounts for the last 5 years. The company has re-stated its value by close to 3 per cent lower. The Dow closed two thirds of a per cent lower. Losses on the NASDAQ were lower at less than half a per cent.

Crude futures for July delivery closed marginally higher at $51.97 to a barrel. Traders are waiting for a key OPEC meeting which will decide on the oil cartel's output limits. Crude opened higher today morning above $52.