Benchmark equity indices witnessed yet another day of consolidation on Thursday as the markets lacked clear leadership from any of the heavyweight stock. Key indices touched their one and a half month highs in the earlier part of trade. But persistent rise in the primary articles' inflation indicated by the government data in the latter part of the day raised the concerns that the central bank may increase the cash reserve ratio (CRR) in the near term to curtail the liquidity. This resulted in markets giving away all their gains in the last hour of trade. The global cues remained supportive throughout the day with outstanding gains from the Japanese market on fall in the yen. Back home, investors continued to initiate long positions in shares belonging to healthcare, metal and realty counters while auto and capital goods counters saw some profit booking in trade. Cement stocks made a smart recovery from the day's lows during the session on likely upward revision in the cement prices. Finally, the BSE Sensex added 15.77 points or 0.09% to close at 17,185.68, while the S&P CNX Nifty advanced 8.45 points or 0.16% to shut shop at 5131.70.

The US markets, after a choppy session closed with losses on Thursday, though there was mixed economic signals but the investors' sentiments turned weak in last hour of trade ahead of a key government report on unemployment and all the major indices closed in red. Profit booking was witnessed as the investors were seen eager to preserve the gains they have made in 2009. The Institute for Supply Management said that its index of activity in the service industry fell to 48.7 in November from 50.6 in October. The Dow Jones Industrial Average lost 86.53 points, or 0.83%, to 10,366.15. The broader Standard & Poor's 500 index fell by 9.32 points, or 0.84%, to 1,099.92, while the Nasdaq was down by 11.89 points, or 0.54%, to 2,173.14.

The crude prices declined on Thursday despite the promising jobless claims data. The Labor Department said that the number of newly laid-off workers dropped unexpectedly to the lowest level since last week. The other reason of decline in crude was the strength in dollar which, rose against other major currencies. Benchmark crude for January delivery gave up 14 cents to settle at $76.46 a barrel on Nymex. In London, Brent crude for January delivery rose 48 cents to settle at $78.36 a barrel on the ICE Futures exchange.

The Indian rupee closed with marginal gains on Thursday, the initial gains in the equity markets gave strength to rupee and it touched its two week high during its intraday trade. The dollar's losses against major currencies overseas boosted the sentiments. Though when the stock markets turned choppy the dollar too lost its strength and pared some of its gains though it still managed a close with gains. Finally the rupee closed at 46.25, 8 paise stronger compared to its Wednesday's close of 46.33.

The FII on Wednesday were the net buyers in the equity segment with gross buying of Rs 4533.00 crore against gross sell of Rs 2238.90 crore, while in the debt segment they were the net sellers with a gross purchase of Rs 140.90 crore against gross sales of Rs 310.30 crore.

The US markets closed with losses on Thursday, as the investors sentiments turned weak on mixed economic signals, investors are now eager to book the profit in the last month of the year. The Asian markets have made a mixed start, though some of the indices were trading high others were showing sign of weakness. The Indian markets despite a good show in first half closed with marginal gains in previous session due to profit booking. The markets are still banking on the good economic growth and general perception about decent recovery. The global cues are indicating a flat to soft start for the markets today.

Support and Resistance: S&P CNX Nifty and BSE Sensex

                                                          Nifty Top volumes

• Unitech Wireless, the joint venture between Unitech and Norway's Telenor ASA, is looking to raise more than $1 billion from Indian markets
• Hindalco has allotted 21.31 crore shares to raise Rs 2,790 crore by private placement of shares.
• Jaiprakash Associates cement despatches increased by 49% to 1,025,697 MT in November 2009 as compared to 689470 MT in November 2008.
• Maruti Suzuki India's top export model A-Star has achieved a new milestone the exports of the car have crossed the 1 lakh mark in less than a year.
• L&T has inaugurated its state-of-the-art Casting Manufacturing Unit (CMU) at the company's Coimbatore complex.