Sensex ends lower, as sentiment remains weak | business | Hindustan Times
Today in New Delhi, India
Dec 03, 2016-Saturday
-°C
New Delhi
  • Humidity
    -
  • Wind
    -

Sensex ends lower, as sentiment remains weak

business Updated: Oct 07, 2008 19:24 IST

PTI
Highlight Story

In a day marked with high volatility, the Bombay Stock Exchange benchmark Sensex on Tuesday shed another 106 points as funds continued their selling-spree amid the melting in global stock markets.

Taking positive cues from Reserve Bank's cutting CRR rate by 50 basis points yesterday, the BSE barometer commenced the day higher by a handsome over 379 points and had regained the 12,000 level, which it lost yesterday on massive selling for the first time in two years.

However funds continued there selling, pulling down the key index to 11,695.24, a loss of 106.46 points. With selling continuing unabated, the Sensex even dipped to the low of 11,501.85 points during the day.

As the market experienced choppy trade throughout the day, the wide-based National Stock Exchange index Nifty moved between 3,732.65 and 3,537.00 points before ending at 3,606.60, a marginal gain of 4.25 points.

Trading activity was mixed as initial gains were on the back of the RBI cutting cash Reserve ratio, which would infuse Rs 20,000 crore into the liquidity. But reports of melting global stock markets quickly reversed the trend.

Stocks in Europe and Asia declined on concerns that financial firms may need more capital than $ 700 billion, announced in the bailout package by the US. The downtrend overshadowed the speculation that central banks around the world may reduce interest rates.

The MSCI Asia Pacific Index fell one per cent, while the MSCI Emerging Markets Index lost 0.5 per cent. Futures on the Standard & Poor's 500 Index retreated less than 0.1 per cent.

The US Dow Jones Industrial Average index dip below 10,000 points level, first time in four years and Japan's Nikkie to 5 years low as investors turned panic sellers.

Capital goods, IT, banking and realty sectors were the major losers, while the market received support from oil and gas, PSU and power segment stocks.

The capital goods index suffered the most among all sectoral indices, by falling 376.41 points, or 3.96 per cent at 9118.52. Segment major Larsen and Toubro, Bharat Bijlee, Punj Llyod, Reliance Industrial Infra and Siemens declined.
IT sector also dropped 88.95 points, or 3.04 per cent, at 2840.30 with blue-chip Infosys falling by 13.70 at Rs 1,304.10 and Satyam Computers by Rs 15.25 at Rs 279.05.

Banking index fell by 132.75 points, or 2.15 per cent, at 6039.25. ICICI Bank, HDFC Bank, Kotak Bank and State bank of India fell sharply.

Realty index fell by 58.27 points at 2,941.72, FMCG index by 36.90 points at 2053.68, Healthcare index by 60.55 points at 3427.52, Metal Index by 102.62 points at 7534.03, Teck index by 28.95 points at 2352.76, Consumer durable index by 17.28 points at 2552.32 and Auto index by 14.44 points at 3511.96.

As selling pressure spread over a wide-front, the smallcap index lost 110.54 points at 4976.39 and midcap index by 87.07 points at 4257.16.