Though the benchmark Sensex on Thursday recorded a new peak of 16,368.57 within a few minutes of resumption of dealings, rising rupee played a spoilsport as IT counters suffered a sharp setback, making the index surrender its initial gains.
After greeting the US Fed's decision to cut interest with the biggest-ever single-day gain of 653.63 points on Wednesday, the market turned cautious on the back of mixed trend in the Asian markets on Thursday.
The Bombay Stock Exchange 30-share barometer opened slightly better at 16,341.55 and immediately touched a all- time high of 16,368.57.
However, emergence of profit-selling by cautious investors pulled the Sensex down to a low of 16,261.36 before being quoted at 16,304.26 at 10.30 am, a fall of 18.49 points over yesterday's close of 16,322.75.
Similarly, the broad-based S&P CNX Nifty of the National Stock Exchange (NSE) also touched a new all-time intra-trade high of 4,750.15 before being quoted down at 4,730.40 at 10.30 am from previous close of 4,732.35, a decline of 1.95 points.
IT counters were at the receiving end following sustained rise in the rupee value as it affects bottomline of these companies. The rupee on Thursday breached the level of Rs 40 per dollar and was quoted sharply higher at more than nine-year high of 39.90/91 a dollar.
IT counters were at the receiving end following sustained rise in the rupee value as it affects bottomline of these companies. The rupee on Thursday breached the level of Rs 40 per dollar and was quoted sharply higher at more than nine-year high of 39.90/91 a dollar.
The spiralling global crude oil prices and the continuing stalemate between the UPA government and its key ally CPI(M) on nuclear deal with the US also partly affected the market sentiment.