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BSE loses 46 points

The happenings in the world markets, including the de facto devaluation of the Russian rouble and slump in the Asian stock markets, coupled with the Reserve Bank of India's direct and indirect intervention in foreign exchange found reflection on the Bombay Stock Exchange during the week-ended August 21.

The 30-scrip BSE sensex lost by 46.14 points to 2922.61 points against the previous week's close of 2968.75 points. The broadbased BSE-100 index also fell by 16.67 points to 1308.82 points against the previous week's close of 1325.59 points.

The market opened on a weak note. Pivotals witnessed a smart rally on Thursday, lifting the BSE sensex up by over 105 points to 2989.60 points on heavy short-covering by operators. However, the sensex suffered a moderate setback on Friday following bull liquidation.

Traders attributed Thursday's rally to the RBI's measures to arrest the steep fall in rupee value. The rupee that touched the all-time low of 43.67 reported a handsome gain on the RBI measures and subsquently closed at Rs 42.82/92 on Friday.

Leading stock brokers welcomed RBI's measures initially but expressed their concern over the increase in CRR and Repo rates.

The BSE-200 closed lower by 2.45 points to 304.75 against the previous week's close of 307.20, while the BSE dollex index gained marginally by 0.47 points to 119.19 against the last Friday's close of 118.72.

The total turnover on the BSE declined by Rs 1.54 billion to Rs 50.78 billion from the previous week's turnover of Rs 52.32 billion.

Among the heavy-weights on the BSE, market leader ITC gained by Rs 23 to Rs 605.50, Satyam Computer by Rs 22.25 to Rs 492.00, Zee Tele by Rs 40.25 to Rs 585.00, Pentafour by Rs 16 to Rs 623..25, Telco by Rs 5.20 to Rs 140.00, BHEL by Rs 1.30 to Rs 217 and Castrol by Rs 8.25 to Rs 537.25.

The State Bank of India lost by Rs 8.70 to 183.00, Reliance by Rs 4.90 to Rs 115.50, L and T by Rs 13.10 to Rs 174.60, Tata Tea by Rs 10 to Rs 278.00, Dr Reddy slipped Rs 46 to 485.25 and Infosys Tech by Rs 35.75 to Rs 2508.

Market sources said the foreign institutional investors unloaded heavily throughout the week while the domestic institutional investors, like the Unit Trust of India, LIC and GIC, made considerable purchases. Company circles also bought select scrips.