Indian shares flat

04 Dec, 2004

India's key share index took a breather on Friday, easing just slightly from the previous session's record closing high as investors sold steel and technology issues. The federal bonds gave up early gains after inflation based on the wholesale price index remained unchanged at 7.34 percent in the year through November 20.
The 30-share Mumbai Stock Exchange index rose in early trade to a new intraday high of 6,361.53 points, then eased to end down 0.09 percent at 6,322.76 points.
The index gained 4.8 percent this week and is up 8.3 percent so far this year. "There was some unwinding of positions ahead of the weekend, but the undertone remains firm on cheaper oil and robust foreign flows," said Deven Choksey, chairman of KRC Shares & Securities.
US crude oil prices eased to just above $43 a barrel on Friday, helping Indian refiners. State-run Hindustan Petroleum Corp. Ltd. rose 0.7 percent.
But steel makers lost some sheen after the steel minister said on Thursday a pricing regulator could be commissioned if needed. Tata Iron and Steel Co., the No. 2 producer, fell 1.2 percent.
The yield on the active 7.38 percent 2015 bond inched up to 6.7751 percent from 6.7508 percent in the morning. It ended Thursday at 6.7885 percent, as a steep fall in oil prices cheered up investors worried about high fuel prices.

Read Comments