Sensex ends 370 pointsdown as weak global mkts trigger massive selling
Wednesday, 29 April 2009
NEW DELHI, Apr 28: Stock prices crashed on the major Indian bourses today with the bears, aided by weak Asian and European markets, thronged the ring and dominated it till the very end of the session according to Internet.
Save for a brief while this morning, when select blue chips found their way up on stock specific support, the market was down in the red right through the session today as the bears, aided by weak Asian and European markets, went berserk and stayed put till the closing bell.
Markets across Asia and Europe tumbled today as participants pressed heavy sales on concerns over the possible damage the deadly swine flu could inflict on global economy. Mexico reported the outbreak of the disease first. And now, with more countries including Australia and South Korea reporting cases of the flu, the World Health Organisation has raised its alert level to be a step closer to declaring the first flu pandemic in four decades.
Another significant reason for the sell-off today was the report that based on results of recently concluded 'stress tests', US regulators have told Citigroup and Bank of America Corp that they may need to raise more capital.
As stocks across the board went crashing down, the benchmark BSE index Sensex plunged to 10,961.76 in late afternoon trade and eventually ended at 11,001.75, recording a huge loss of 370.10 points or 3.25per cent. The Nifty index of the National Stock Exchange closed with a sharp loss of 107.65 points or 3.1per cent at 3362.35, a few points off the day's low of 3351.50.
All the sectoral indices closed in the red. Realty, metal, bank and capital goods stocks were among the worst hit in the sell-off today. Power, oil, FMCG, pharma and auto stocks too declined sharply. Consumer durables stocks, which enjoyed some bright moments in the positive zone early on, failed to retain gains and settled well off their day's highs. IT stocks fared relatively better.
Heavy selling was witnessed at several counters in midcap and smallcap stocks. Mirroring this, the BSE Midcap and Smallcap indices ended lower by 3.73per cent and 3.45per cent respectively.
The market breadth was very weak today. Out of 2542 stocks traded on BSE, 1807 stocks declined. 654 stocks posted gains and 81 stocks ended flat. Among BSE 'A' Group stocks, as many as 180 stocks posted losses today. 21 stocks bucked the trend and signed off on a positive note.
Not a single stock from the Sensex closed on the positive side today. From the Nifty pack, oil stock BPCL (up 1.4per cent) was the lone gainer.
Realty stock DLF (down 7.8per cent) was the biggest loser in the Sensex. Sterlite Industries, Tata Steel, HDFC and Reliance Communications lost 7per cent - 7.75per cent. Reliance Infrastructure (down 6.8per cent), Tata Motors (down 6.4per cent), ICICI Bank (down 6.1per cent), BHEL (down 4.1per cent), Hindalco (down 4per cent) and HDFC Bank (down 4per cent) also ended with sharp losses.
Larsen & Toubro, State Bank of India, ITC, Tata Power, Wipro, Reliance Industries, Hindustan Unilever, ACC and Bharti Airtel lost 2per cent - 4per cent. NTPC, ONGC, Ranbaxy Laboratories, Tata Consultancy Services and Maruti Suzuki also closed with sharp losses. Grasim Industries, Infosys Technologies, Mahindra & Mahindra, Jaiprakash Associates and Sun Pharmaceuticals ended marginally down from their previous closing levels.
Punjab National Bank ended with a big loss of 9.8per cent. Reliance Capital, Suzlon Energy, Power Grid Corporation, Axis Bank, SAIL, Siemens, Cairn India, Reliance Petroleum, Nalco, ABB, Reliance Power, Tata Communications, Idea Cellular, Cipla, Ambuja Cements, Unitech and HCL Technologies also closed with sharp losses today.
Save for a brief while this morning, when select blue chips found their way up on stock specific support, the market was down in the red right through the session today as the bears, aided by weak Asian and European markets, went berserk and stayed put till the closing bell.
Markets across Asia and Europe tumbled today as participants pressed heavy sales on concerns over the possible damage the deadly swine flu could inflict on global economy. Mexico reported the outbreak of the disease first. And now, with more countries including Australia and South Korea reporting cases of the flu, the World Health Organisation has raised its alert level to be a step closer to declaring the first flu pandemic in four decades.
Another significant reason for the sell-off today was the report that based on results of recently concluded 'stress tests', US regulators have told Citigroup and Bank of America Corp that they may need to raise more capital.
As stocks across the board went crashing down, the benchmark BSE index Sensex plunged to 10,961.76 in late afternoon trade and eventually ended at 11,001.75, recording a huge loss of 370.10 points or 3.25per cent. The Nifty index of the National Stock Exchange closed with a sharp loss of 107.65 points or 3.1per cent at 3362.35, a few points off the day's low of 3351.50.
All the sectoral indices closed in the red. Realty, metal, bank and capital goods stocks were among the worst hit in the sell-off today. Power, oil, FMCG, pharma and auto stocks too declined sharply. Consumer durables stocks, which enjoyed some bright moments in the positive zone early on, failed to retain gains and settled well off their day's highs. IT stocks fared relatively better.
Heavy selling was witnessed at several counters in midcap and smallcap stocks. Mirroring this, the BSE Midcap and Smallcap indices ended lower by 3.73per cent and 3.45per cent respectively.
The market breadth was very weak today. Out of 2542 stocks traded on BSE, 1807 stocks declined. 654 stocks posted gains and 81 stocks ended flat. Among BSE 'A' Group stocks, as many as 180 stocks posted losses today. 21 stocks bucked the trend and signed off on a positive note.
Not a single stock from the Sensex closed on the positive side today. From the Nifty pack, oil stock BPCL (up 1.4per cent) was the lone gainer.
Realty stock DLF (down 7.8per cent) was the biggest loser in the Sensex. Sterlite Industries, Tata Steel, HDFC and Reliance Communications lost 7per cent - 7.75per cent. Reliance Infrastructure (down 6.8per cent), Tata Motors (down 6.4per cent), ICICI Bank (down 6.1per cent), BHEL (down 4.1per cent), Hindalco (down 4per cent) and HDFC Bank (down 4per cent) also ended with sharp losses.
Larsen & Toubro, State Bank of India, ITC, Tata Power, Wipro, Reliance Industries, Hindustan Unilever, ACC and Bharti Airtel lost 2per cent - 4per cent. NTPC, ONGC, Ranbaxy Laboratories, Tata Consultancy Services and Maruti Suzuki also closed with sharp losses. Grasim Industries, Infosys Technologies, Mahindra & Mahindra, Jaiprakash Associates and Sun Pharmaceuticals ended marginally down from their previous closing levels.
Punjab National Bank ended with a big loss of 9.8per cent. Reliance Capital, Suzlon Energy, Power Grid Corporation, Axis Bank, SAIL, Siemens, Cairn India, Reliance Petroleum, Nalco, ABB, Reliance Power, Tata Communications, Idea Cellular, Cipla, Ambuja Cements, Unitech and HCL Technologies also closed with sharp losses today.