Sensex recovers early losses

Mumbai: After plunging to nearly a three-month low at 17,786.13, the benchmark 30-scrip Sensex rebounded smartly on last two days of the week but still ended lower by nearly 60 points over the previous week`s closing.

The trading for the week started on a subdued note on persisting concerns over inflation and high interest rates as well as weak global cues on deepening euro-zone debt crisis.

Analysts said investors sold across-the-board in the early part of the week which was attributable to the expiry of the derivative contracts for May on Thursday.

However, short covering on Thursday and follow-up buying on the next day helped Sensex to recover major part of its early losses.

The Sensex closed the week at 18,266.10, a fall of 59.99 points or 0.33 per cent over the previous week`s close.

Intra-week, it dipped to a three-month low of 17,786.13.

Fitch had downgraded Greek`s debt rating over the last week-end while Standard & Poor downgraded outlook for Italy`s rating that led to concerns over the sovereign debt crisis in Europe and impacted the market sentiment across the globe.

However, most of the markets overseas surged after mid-week on speculations that China would increase purchases of Euro bonds.

The National Stock Exchange, the broader NSE 50-share Nifty eased by 10.25 points, or 0.19 per cent to end the week at 5,476.10.

Petro-chem giant RIL rose smartly by 2.70 per cent during the week, while ONGC spurted by 3.27 per cent on reports that its subsidy burden might reduce following possible hike in diesel prices in June.

As a result, BSE-Oil & Gas index rose by 224.68 points, or 2.41 per cent and was the top gainer among the sectoral indices.

Overall, 16 out of the 30 Sensex scrips closed with gains, while others finished with losses.

Tata Motor tumbled by 6.86 per cent, BHEL (6.67 per cent), SBI (3.77 per cent), TCS (2.97 per cent), NTper cent (2.60 per cent), Tata Power (2.55 per cent), Infosys (2.20 per cent), REL Infra (1.99 per cent), Wipro (1.30 per cent), Bajaj Atuo (1.21 per cent) and DLF (1.08 per cent).

However, ONGC rose by 3.27 per cent, Hindalco (2.76 per cent), Hero Honda (2.73 per cent), RIL (2.70 per cent), HUL (2.45 per cent), ICICI Bank (2.37 per cent), ITC (1.78 per cent), M&M (1.65 per cent) and Tata Steel (1.21 per cent).

The total turnover at BSE and NSE rose to Rs 13,782 crore and Rs 55,258 crore respectively compared to Rs 12,734 crore and Rs 49,242 cr last week.