Sensex closes flat ahead of inflation data

Mumbai, June 13 (IANS) A benchmark index for Indian equities markets Wednesday closed flat in choppy trade ahead of inflation data for May which will be out Thursday.

The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 16,865.72 points in the morning, closed at 16,880.51 points, up 0.11 percent or just 17.71 points from its previous close of 16,862.80 points.

The Sensex touched a high of 16,944.11 points and a low of 16,792.87 intra-day. The BSE midcap index fell 12.43 points while the smallcap index gained 8.06 points.

The wider 50-scrip S&P CNX Nifty of the National Stock Exchange closed 0.11 percent higher at 5,121.45 points.

After Tuesday's industrial output data, the Reserve Bank of India will closely watch Thursday's inflation figures to decide on a rate cut to give a boost to sluggish economic growth.

According to a government data released Tuesday, India's industrial output grew by a meagre 0.1 percent in April as the slump in manufacturing and mining sectors continued, dampening hopes of an early revival of economic growth.

The RBI is scheduled to announce first mid-quarter review of the monetary policy June 18.

BSE realty index was down 24.53 points, automobile index was down 136.51 points, consumer durable index was down 56.62 points.

The major Sensex losers were Maruti Suzuki, down 3.38 percent at Rs.1,107.50; Sterlite Inds, down 2.21 percent at Rs.101.71; NTPC, down 2.16 percent at Rs.154.20; Tata Motors, down 2.10 percent at Rs.237.85; and Tata Power, down 1.77 percent at Rs.94.35.

The gainers were Hindustan Unilever, up 3.03 percent at Rs.445.90; ONGC, up 2.83 percent at Rs.268.70; Larsen and Toubro, up 2.60 percent at Rs.1,349.75; Sun Pharma, up 2.10; at Rs.591.45; Jindal Steel, up 1.71 percent at Rs.439.80.

At the closing bell here, European markets were trading flat. France's CAC was 0.22 percent down, while Germany's DAX and Britain's FTSE 100 were trading 0.43 percent and 0.04 percent lower respectively.

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