Friday, September 9 2005 17:42 Hrs (IST) - World Time -

Mumbai: The steep rally in the Bombay Stock Exchange (BSE) benchmark sensitive index (Sensex) was somewhat slowed down today (September 9, 2005) as it managed to rise only by 7.45 points, however ended at yet another new high of 8060.01 on increased all-round buying.

The 30-share index opened better at 8060.89 as against yesterday's close of 8052.56 and rose further to an all-time intra-day high of 8077.74. Later, it fell sharply to a low of 8015.75 on fresh profit-selling at higher level and closed at 8060.01, showing a marginal gain of 0.09 per cent over the previous close.

The world crude oil prices fell below the 65 dollars per barrel level.

However, the sensex was expected to remain above the 8000 level next week too as the market fundamentals were strong, brokers said.

Foreign Institutional Investors (FIIs) were reportedly extending their long positions in futures while making fresh purchases in cash and have stepped up activity since last couple of weeks with net investments of over Rs 800 crore in September so far.

Operators and private mutual funds also were believed to be heavy buyers in select stocks which promise high returns at the prevailing price levels, they said.

Meanwhile, inflation fell marginally to 3.01 per cent in the week ended August 27 from 3.08 per cent a week ago and Finance Minister P Chidambaram today said the government and Reserve Bank of India (RBI) would take necessary steps to contain inflation, which also was an encouraging news for the market, a broker said.