Sensex pares initial gains, slips 18 points

Mumbai: The BSE benchmark Sensex paredi nitial gains and slipped by 18.37 points in late morning trade on profit-booking led by realty, consumer durable, energy, auto and telecom sectors ahead of January Inflation data (CPI) later today.

Investors turn cautious after disappointing IIP number which contracted to four-month low of 0.4 per cent in December. Meanwhile, Metal, Utilities, IT and FMCG witnessed buying interest.

The 30-share index opened higher at 28,450.42 and moved in a range of 28,458.80 and 28.309.58. It was quoting at 28,315.88 At 1100 hrs, showing a loss 18.37 points, or 0.06 per cent over its last close.

The NSE 50-share Nifty was also trading marginally lower by 3.30 points, or 0.04 per cent, at 8,790.25. Among major losers were: Coal India 1.86 per cent, SBIN 1.39 per cent, Maruti 0.75 per cent and Heromotoco 0.69 per cent.

However, Tata Steel gained by 1.48 per cent, followed by HUL 1.12 per cent, PowerGrid 1.08 per cent and Wipro 0.96 per cent.

Meanwhile, Foreign portfolio investors (FPIs) bought shares worth a net Rs 504.51 crore last Friday, as per provisional data released by the stock exchanges.

Overseas, Asian shares rose helped by renewed optimism over Donald Trump's tax reform plans and his change of tack to honour the one China policy and upbeat global economic data.

The US stocks logged record closing highs on last Friday, marking the first grand slam in two months as small capitalisation stocks have caught up to their larger brethren.