In a volatile market, the S&P BSE benchmark sensex failed to maintain initial gains and was quoted lower by 140 points in late morning trade on fresh selling pressure, mainly in banking, refinery, power, capital goods and realty sectors on fears of a slowdown in foreign capital inflows.
The market sentiment was hit adversely following the Federal Open Market Committee (FOMC) after a two-day monetary policy on Wednesday, announced plans to cut its monthly bond purchases to USD 75 billion from USD 85 billion.
The sensex resumed higher at 20,959.80 and firmed up further to a high of 21,017.45 on initial buying on the back of strong capital inflows from foreign funds. However, it declined immediately to 20,646.03 before quoting at 20,719.20 at 1040hrs.
The NSE 50-share Nifty also moved down by 53.05 points or 0.85 pct to 6,164.10 at 1040hrs. Major losers were Larsen (2.83 pct), Icici Bank (2.44 pct), Hero Motocorp (2.25 pct), ONGC (2.24 pct), Bharti Airtel (2.13 pct), HDFC (1.99 pct), BHEL (1.87 pct), Bajaj Auto (1.87 pct), SBI (1.84 pct) and RIL (1.22 pct).
Asian markets edged higher in their early trade after the US Federal Reserve expressed enough confidence in the US labour market to taper asset purchases while promising to hold interest rates close to zero in the world's biggest economy.
Key benchmark indices in Taiwan, Hong Kong, Singapore, Japan, Indonesia and South Korea rose by 0.01 pct to 1.63 pct. while China's Shanghai Composite fell 0.09 pct.


Latest News  from Business News Desk