Market stumbles, techs slide

MUMBAI: Indian shares opened lower on Tuesday with technology issues leading the losers, but dealers said the overall market was likely to be rangebound for most of the day.

At 9:20 a.m. the top 30-share Bombay Stock Exchange index was down 0.77 percent at 2,973.89 points, while the broader 50-issue National Stock Exchange index was off 0.93 percent at 938.4.

Satyam Computer Services, the nation"s No. 4 software services exporter, was down 3.2 percent at 149.55 rupees after gaining over seven percent on Monday. The firm is expected to unveil flat earnings growth when it announces January-March results on Thursday.

Other tech shares like Infosys, Wipro, Digital GlobalSoft and Hughes Software were down between one and two percent. Disappointing earnings and muted guidance from sector leaders had hit sentiment.

"The sector de-rating continues," said Nikhil Gholani, a dealer with Rooshnil Securities. "At every rise, some selling is bound to come in. "Otherwise, the market is likely to remain lacklustre today...selective buying may pop up in the pharma, power sector and banking stocks," he said.

Petrochemicals giant Reliance Industries lost 1.34 percent to 275.35 rupees ahead of its results on Wednesday. The firm is expected to post a 36 percent jump in quarterly profits from a year ago, but its telecom investment is seen as a drag on its performance this year.

© Reuters