The stock of Infosys, which zoomed over 9 per cent at the time of market opening on Monday and reached an intra-day high of Rs 2,624.9 corrected later to close at Rs 2,513.95, up only 4.22 per cent on the BSE from its previous close.
On the NSE, too, the stock corrected through the day to close at Rs 2,508.10, up 4 per cent from its previous close.The total traded volume of the stock on the NSE stood at 41,51,906 shares.
Analysts stated that the initial upside was owing to the "sentimental" impact of the announcement of the return of the company founder Narayan Murthy to Infosys as Executive Chairman after his retirement in August 2011. They, however, maintained that for the stock to remain at high levels on a sustained basis, the market needed more clarity on how Murthy plans to end the company's spate of losing market share and reverse it.
The overall Sensex closed in the red at 19,610.48, down 0.76 per cent while the NSE too closed in the negative at 5,939.30, down 0.78 per cent. Helped by Infosys, IT and tech sectors remained in the limelight today and closed up by over one per cent while oil and gas and power sectors were the worst hit.
Alex Mathews, Head Research, Geojit BNP Paribas Financial Services said: "Markets today opened on a flat note and remained in range in the first half but weak European markets made the Indian markets remain under pressure in the second half of the day. The market breadth remained negative as there were 1,013 stocks advancing against 1,307 stocks declining."
The HSBC Manufacturing Managers’ Index data came out today which stood at 50.1 in May from 51.1 level in April and was the third straight month fall, he added.