MODEST turnover saw out the April index contract yesterday as retail and foreign institutional sellers came on the scene. Overall turnover was 12,283 contracts, with 12,170 in May and 113 in June. The Hang Seng Index cash market closed 197.02 points down at 8,966.07, its third-lowest close of the year. The lowest was on March 21 at 8,667.03, followed by 8,934.59 on April 21. May futures fell 320 points to 8,930. The contract has an open interest of 30,725, according to Jardine Fleming. June, which fell 325 points to 8,935, has an open interest of 547. Jardine Fleming said investors believed the upside on the current trading range had fallen to 9,600, with 8,850 being the bottom. ''Bearish overseas investors were active in buying puts and selling calls to capture this new trading range,'' said the brokerage. Implied volatility lifted marginally to around 35 per cent in the front month. The Hang Seng Index 100-day historic volatility is around 40 per cent. At-the-money calls and puts implied volatility in May was 34 per cent and 35 per cent respectively. In June it was the same, in September they were both 34 per cent and in December they were 32 per cent in the calls. There was no calculated figure for the puts. Fragile market sentiment and lack of positive news is expected to keep the market depressed or trading sideways next week.