Markets pare gains, IT and FMCG stocks weigh

Sensex pared gains after touching fresh 33-month high.

The benchmark touched a high of 20,706 during the morning session but profit booking in FMCG and IT sectors dragged Sensex lower to close near day's low at 20,475, up 31 points, Nifty ended flat, up 16 points at 6159.

Markets across Asia ended in green except Nikkei 225 and KLSE Composite.

Surge in Hong Kong's property shares pulled the Hang Seng index up 1.17%. China's Shanghai Composite ended higher by 1.7% on back of gains in ship builders.

Seoul Composite and Taiwan Weighted ended up 0.14% and 0.02% each. Japan's Nikkei index bucked the trend, ended the day in red, down 0.3%, speculation that Bank Of Japan will ease the monetary policy further this week failed to hold the morning gains on Nikkei index.

Technical Analyst, Devangshu Datta said, 'peristent selling pressure is seen and support for Nifty is now at 6125-6175.'

Analysts sound caution and suggest buying specific stocks. "A stock specific in approach will be sustainable in the long-run.

The market noise is too much to hazard a guess at current levels. For the long-term, one can look at energy specific stocks and the technology sector,S Ramesh Kumar, Sr Vice-President, Asit C. Mehta said."

Buying interest was seen in BSE Healthcare and Consumer Durbales indices as they  ended up 1.7% and 1.6% each. However profit booking in IT and FMCG indices, down 0.6% and 0.7%

weighed on the markets.

Mahindra & Mahindra was the biggest gainer among Sensex stocks - up 3% at Rs 733. Reliance Communications gained 2.5% at Rs 172.

ICICI Bank and Tata Motors added 2% to Rs 1,158 and Rs 1,140, respectively.

HDFC added 1.5% to Rs 754. Cipla and Reliance advanced 1.2% each. ACC and BHEL also moved up around 1% each.

Meanwhile, ITC shed 2% at Rs 175. Sterlite and Hero Honda dropped 1.8% each to Rs 172 and Rs 1,810, respectively.

Bharti Airtel, Larsen & Toubro, ONGC and Infosys were some of the other prominent losers in the index today.

Among healthcare stocks - Biocon surged 5.5% to Rs 386. Ranbaxy, Orchid Chemicals, Glaxosmithkline Pharma and Lupin rallied 2-4% each.

VIP Industries led the gainers list among consumer durables stocks. Wirlpool and Rajesh Exports were up 2-4% each.

On the other hand, FMCG index was the main laggard. Godrej Consumer Products dropped 3% to Rs 396. Nestle slipped 1% to Rs 3,316.

BSE market breadth was marginally negative. Out of 3,094 stocks traded, 1,541 declined while 1,429 advanced.