* BSE index falls 0.07 pct; NSE index ends down 0.13 pct
* Indexes touch life highs for a second straight session
* BSE index suffered a 3-hour trading halt due to network
By Indulal PM
MUMBAI, July 3 Indian shares fell slightly on
Thursday, retreating from record highs hit earlier in the
session, as investors snapped a four-day rally by booking
profits in recent outperformers such as Hindalco Industries
Trading was marred after exchange operator BSE Ltd, which
operates the benchmark BSE index, suffered around a
three-hour trading halt because of a network outage.
Shares have surged this year - with the broader NSE index
up 22.4 percent so far - on hopes Narendra Modi's
election as prime minister last month would spark a wave of
A key test of that will come on July 10, when the new
government is expected to unveil the budget. Foreign investors
have remained strong buyers throughout, buying a net 12.90
billion rupees ($215.7 million) worth of shares on Wednesday and
bringing their total for the year to $10.34 billion.
"Market is awaiting the next big event which is budget. The
broader sentiment is positive, so we advise our clients to stay
with the market, but stay cautious. Volatility would be very
high as we approach the budget," said Daljeet S Kohli, head of
research at brokerage, IndiaNivesh.
The BSE index fell 0.07 percent to end at 25,823.75 after
hitting its record high of 25,999.08. It had gained 3.11 percent
over the previous three sessions.
The broader NSE index fell 0.13 percent to end at
7,714.80 after hitting its life high of 7,754.65. It had gained
3.1 percent over the last four sessions.
Recent outperformers fell on profit-booking. Hindalco
Industries Ltd, which gained 10.8 percent in the past three
sessions, fell 2.52 percent.
Power and capital goods stocks, which were the major
contributors to the recent rally, ended lower. NTPC Ltd
closed down 1.5 percent, while Tata Power Ltd
fell 2.3 percent.
Among other blue-chips, Reliance Industries Ltd
closed 1.2 percent lower, while Oil and Natural Gas Corp
ended down 2 percent.
Shares in GMR Infrastructure Ltd closed down 7.7
percent and Jaiprakash Associates Ltd ended 4.6
percent lower after both companies raised a total of about $550
million, through a share sale, which was at a discount to the
For additional stocks on the move double click
FACTORS TO WATCH
* Swedish crown hits 3-1/2 yr low after steep rate cut, Aussie
* Brent dips below $111, Libya says oil crisis is over
* Shares near all-time highs before ECB, payrolls
* Foreign institutional investor flows
* For closing rates of Indian ADRs
ASIA-PACIFIC STOCK MARKETS:
Pan-Asia........ Japan....... S.Korea...
S.E. Asia....... Hong Kong... Taiwan....
Australia/NZ.... India....... China.....
Wall Street .... Gold ....... Currency..
Eurostocks..... Oil ........ JP bonds...
ADR Report ..... LME metals. US bonds..
Stocks News US.. Stocks News Europe
DIARIES & DATA:
Indian Data Watch Asia earnings diary
U.S. earnings diary European diary
Indian diary Wall Street Week Ahead
Eurostocks Week Ahead
For top Asian company news, double click on:
U.S. company news European company news
Forex news Global Economy news
Technology news Telecoms news
Media news Banking news
Politics/General Asia Macro data
($1 = 59.8000 Indian Rupees)
(Reporting by Indulal PM; Editing by Subhranshu Sahu)