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Sensex vaults 3.5 pc, Nifty 2.9 pc as US snubs Pak over Kargil

Equities displayed an upward trend on buying support by institutional investors and operators guided by hopes that international pressure on Pakistan may de-escalate tensions during the week ended June 18.

Mirroring the uptrend, the BSE-30 Sensitive Index ended the week at 4109.89, rising by 140.53 points or 3.54 per cent over the previous week's close of 3969.36.

The week started on a bearish note with the backdrop of the failed Indo-Pak talks. Shelling at Kargil during Prime Minister Atal Bihari Vajpayee's visit there aided these sentiments.

The trend continued on June 15 as rumours were agog that a war had broken out. Also, there was heavy selling in the index-weighted software scrips, which kept the Sensex below the 4,000 mark.

However, the tables were turned on the bears on June 16 as FIIs and local operators made heavy purchases in index scrips encouraged by the American advice to Pakistan that it should vacate Indian territory. This helped the Sensex to cross the 4000 mark to close at 4021.40 on that day.

Led by Hindustan Lever, pivotals extended their gains further on June 17 allowing the the Sensex to post a 104-point gain. FMCG giant HLL replaced State Bank of India and was the top gainer at both the BSE and the NSE.

The scrip rose by Rs 92 to end at Rs 2,407. The Sensex too reflected the spurt in global indices on that day and closed at 4125.25.

On the last day of the last trading cycle, equities eased on selling pressure from operators, who were busy squaring their deals. The Sensex fell by 15.36 points to close at 4109.89.

During the period under review, the BSE-100 index rose by 32.16 points to close at 1759.73 from the previous close of 1727.57.

The BSE-200 index ended the week 8.69 points higher at 401.90 from the last close of 393.21.

The Dollex index ended 3.04 points higher at 155.07 from the last close of 152.03.

At the National Stock Exchange, the S&P CNX Nifty rose by 33.25 points or 2.91 per cent to end the week at 1175.15. However, the S&P Nifty Junior fell by 67.90 points to close at 1893.45 reflecting movements in the scrips that make this index.

The S&P CNX Defty closed at 943.70, showing a net gain of 24.80 points. The S&P CNX-500, 8.05 points higher at 790.45, while CNX Midcap-200 fell by 14.80 points to close the week at 664.15.

UNI

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