Indian blue-chips in freefall as uncertainty takes toll
Blue-chips like Infosys, Reliance Industries and TCS went into a tailspin on the bourses today as investors abandoned their holdings in companies that rely heavily on exports after the US lost its top-notch credit rating.business Updated: Aug 08, 2011 11:09 IST
Blue-chips like Infosys, Reliance Industries and TCS went into a tailspin on the bourses today as investors abandoned their holdings in companies that rely heavily on exports after the US lost its top-notch credit rating.
Reliance Industries, the country's most valued firm, dropped by 3.1% to hit a 52-week low of Rs 767.05 on the BSE.
Among the other major losers, DLF, Tata Motors, Tata Steel, TCS and Infosys fell in the range of 4-7% in morning trade on the bourses.
Interest rate-sensitive DLF shed 6.54% to trade at Rs 196.50, while Tata Motors plunged by 6.18% to quote at Rs 834.50.
TCS and Infosys were trading down by 5.18% and 4.66%, respectively, on the BSE.
Tata Steel tumbled by 4.84% to Rs 507.
Analysts said all the negative sentiment has dampened investors' confidence, adding that they are worried about the
possible impact on Indian companies due to the continuing uncertainty in the US.
Stocks like Jindal Steel, Bharti airtel, Hindalco and Jaiprakash Associates, too, witnessed heavy selling pressure and fell by more than 4% each.
None of the Sensex components were trading in the green till 1015 hours.
Infosys, RIL, TCS and ICICI Bank were the major dampeners for the Sensex and dragged the barometer down by over 500
points in morning trade.
Sterlite, HDFC, HDFC Bank, L&T, ICICI Bank, Bajaj Auto, NTPC, BHEL, Maruti, Coal India were also trading with significant losses.