Posts tagged ‘sensex’

August 5, 2011

Sensex down 400 points as global markets crash on US recession fears Indian markets have joined a global sell-off and have opened gap down. The Sensex was down over 400 points while the Nifty fell over 130 points to slip below 5200 in opening trade. The selling pressure was so huge that only 15 stocks on the BSE 500 index were trading higher. Among the 30 Sensex stocks, only ONGC was trading higher.

At 1015, the Sensex was down 418 points to 17,275 and the Nifty was trading 128 points to 5,204. Reliance fell nearly 2 per cent to slip below the crucial Rs. 800 mark. IT major Infosys was down over 3 per cent to hit a yearly low. At 0930, Infosys was trading at Rs. 2,619.

Some other stocks to hit 52-week lows are PSU major Bharat Heavy Electricals (BHEL), Jindal Steel (JSPL), Vedanta Group Company Sterlite and Sesa Goa, government owned Steel major SAIL, Aditya Birla Group’s Hindalco, Sajjan Jindal’s JSW Steel, JP Associates, GMR Infra, Crompton, Unitech and Bharat Forge.

Jim Rogers, CEO of Rogers Holdings said, “This is not a one day thing… this has been building for a while… people have been worried about markets… commodity markets have been doing better but at the moment everything is going down because everybody is afraid of everything.

Fears of another recession in the US, accentuated by a spate of weak economic reports, have led to a crash on the Wall Street. The Dow tanked 512.76 points, or 4.3 per cent to 11,383, in its steepest point decline in two and a half years. The Dow is now in the negative territory for the year.

Speaking to NDTV, Mark Mobius, Executive Chairman of Templeton Asset Management’s (EM), said, “The main thing is the uncertain results in everybody withdrawing to what they concern as safe haven… in this case its more panic because the US treasury is no more considered safe.”

A weekly close below 5,200 might take the broader Nifty all the way to 4,800. Shardul Kulkarni of Angel Broking said the fall was not entirely expected though the pace of fall is surprising. “It is too early and too dangerous to go long on the markets,” Mr Kulkarni said.

Sandeep Bhardwaj of Tower Capital said, “It is just the beginning and wild moves are expected.” Ultimately the western economies are realising that printing more money is not going to help… economies need to shrink before they grow, Mr Bhardwaj said.

“Investors should put their money in fixed deposits to get 10-11 per cent interest”, Mr Bhardwaj said. Pharma and Telecom is the place to be if one has to stay invested in stocks, he added.

Manufacturing activity in the US has been at a standstill, services that account for 90 percent of the American work force, is growing at the slowest rate in a year and a half. Consumer spending declined in June for the first time in almost two years. To top it up, the GDP is growing at the slowest pace since the end of the Great Recession. The unemployment rate continues to be at a high 9.2 per cent.

In an indication of worsening US economy, some banks are planning to charge investors for their savings account.

European economies continue to reel under the debt crisis, with more countries joining Greece and Ireland. Italy and Spain might need help from the European Union.

The Asian markets were deep in the red led by the Hang Sang that slumped nearly 5 per cent. Japan’s Nikkei was down 3.5 per cent.


June 13, 2011

Sensex starts on negative note, dips 110 points

SensexMumbai: The BSE benchmark Sensex started off on a negative note and fell by almost 110 points in opening trade on Monday, extending its losses for the fourth consecutive session. The losses continued on selling by foreign funds and retail investors, taking cues from weak global markets.

Fears that the Reserve Bank of India may announce a hike in interest rates in its credit policy review later this week also dampened the sentiment.

The 30-share barometer, which lost over 226 points in the previous three sessions, moved down further by 109.12 points, or 0.46 per cent, to 18,159.42 in the first few minutes of trade on Monday.

Stocks of oil and gas, IT, realty and metal companies remained under pressure.

Similarly, the wide-based National Stock Exchange Nifty index slid by 34.50 points, or 0.60 per cent, to 5,451.30.

Market experts said the trading sentiment remained bearish amid a subdued trend on other Asian bourses following weekend losses in the US market and fears of another hike in interest rates by the Reserve Bank of India in its credit policy review.

In the Asian region, Hong Kong’s Hang Seng index was trading 0.82 per cent lower and Japan’s Nikkei shed 0.77 per cent this morning. In the US, the Dow Jones Industrial Average ended 1.42 per cent lower in Friday trade.


March 4, 2011

Sensex gains 247 points on easing inflation, global cues


The Sensex rose by over 247 points in opening trade on the Bombay Stock Exchange on Friday on continued buying by funds, driven by a firming global market trend and easing food inflation. The Sensex, which gained over 865 points in the past four sessions, shot up by 247.21 points, or 1.33%, to 18,73

6.97 today.

Banking, auto, metal, capital goods and oil and gas stocks led the rally.

Similarly, the broad-based National Stock Exchange Nifty index gained 72 points, or 1.13%, to 5,608.20 points.

Brokers said a firming trend on other Asian bourses following overnight gains in the US market and easing food inflation mainly buoyed the trading sentiment at home.

In addition, corporate-friendly Budget proposals also supporting the ongoing rally on the bourses, they added.

In the Asian region, Hong Kong’s Hang Seng index was up by 1.41%, while Japan’s Nikkei index rose 1.56% in early trade on Friday.

The US Dow Jones Industrial Average ended 1.59% higher in Thursday’s trade.