[R]10:30AM The Sensex slipped 0.5% in volatile trading on profit-taking.[/R]
The Sensex on BSE finished 76.41 points, or 0.50%, lower to 13,429.48. The market-breadth weakened continuously over the course of the trading session today. As 1871 shares declined on BSE, only 657 advanced and 63 stocks were unchanged. From the 30-Sensex stocks, 22 declined while the rest advanced.The turnover on BSE was Rs 4,472 crore, much lower than Rs 6,125.73 crore on Thursday. The turnover on NSE was Rs 8,720.45 crore, lower than Rs 10,321.46 crore on Thursday.

Economic news

The wholesale price index advanced 5.30% in 12 months to Nov. 4, higher than 5.09% the previous week due to a rise in the prices of food articles and manufactured products.

Foreign funds moving into Indian equities have increased more than $7.7 billion this year, compared to a record $10.7 billion in 2005.

India, the largest producer and consumer of pulses in the world, is seen doubling imports due to a shortage of about four million tonnes on account of a poor harvest in 2005/06, industry officials announced.

Most-active stocks

Tech Mahindra was the most-active stock with a turnover of Rs 172.60 crore followed by Mahindra Gesco, State Bank of India, Glenmark and Hindustan Zinc.

Advancers

Oil marketing firms surged as crude oil price fell to one year low on Thursday. BPCL ended at Rs 378.90, Indian Oil Corporation at Rs 511.05 and HPCL at Rs 319.90. All rose between 4.7% 6.3%.

NTPC surged nearly 4% to Rs 140.30. The company announced on Friday it planned to invest Rs 3,425 crore to set up a 520-megawatt hydro power project.

Housing finance large-cap HDFC gained 3.3% to Rs 1,608 on the assumption that the housing loan demand may remain strong. The stock hit a high of Rs 1,616 which is an all-time high.

Other gainers include NTPC rising 2.89% to Rs 138.90, Reliance Communications advancing 1.40% to Rs 402.15; Bharti Airtel edging up 0.83% to Rs 582.20 and ACC advancing 0.61% to 1,094.

Decliners

Dr Reddy’s Lab led the decliners today. It shed nearly 5% to Rs 738 after it raised $200 million in an issue of American Depositary Receipts, below market estimates of up to $260 million. It priced the issue at $16 per ADS.


The latest data showing an increase in inflation impacted shares of private sector banks negatively. ICICI Bank lost 1.2% to Rs 877 and HDFC dropped 1.9% to Rs 1,122. The sharp decline in oil price pulled oil exploration large-cap ONGC lower. The stock lost 2.3% to Rs 850.20.

Reliance Industries shed 0.4% to Rs 1,258.10. Reliance Industries has secured an offshore exploration block in Timor Leste. Reliance Industries will have a majority interest and operator-ship in that block. Infosys declined 0.1% to Rs 2,190. The company had soared over 9% in opening trade to Rs 2401 due to a punching error.

Cement shares also declined. Gujarat Ambuja Cements was off 2.3% to Rs 135.65, Grasim fell 1.3% to Rs 2,680 and UltraTech Cement shed 2.4% to Rs 883. ACC closed flat at Rs 1,087.95. Swiss cement company Holcim on Thursday acquired additional 3.6% stake in Gujarat Ambuja Cements raising its holding to 18.4%, for Rs 685 crore.

Auto shares continued their decline. Hero Honda shed 1.9% to Rs 692.50, Bajaj Auto sank 0.9% to Rs 2,564, Maruti Udyog lost 0.4% to Rs 889.30 and Tata Motors lost 0.6% to Rs 808.40.

Mahindra & Mahindra Ltd lost 0.5% to Rs 812.50 as it informed BSE that the company is in discussion with the promoters of Schoeneweiss & Co GmbH, a forging company based in Germany, to acquire a majority stake in the company.