Fifth straight weekly loss
Markets ended in red for fifth consecutive week with both the key indices slipping over 3% each in the week. This is turning out to be a bad patch for the markets as it does not take a lot for the markets to fall as from the start of this year the Sensex has already fallen over 15%. Investors are vigilant as rising Inflation rates, global happenings and prospect of further monetary tightening by RBI are dampening the sentiments of the players.
After recording a firm start the key indices immediately slipped in to negative territory led by fall in the Capital Good Bank and Technology stocks. All the sectoral indexes including the Mid-Cap and the Small Cap indexes fell sharply dragging the benchmark Sensex to hit a low of 12316.10. Finally, the 30-share benchmark Sensex fell 113 points to close at 12430. NSE Nifty was down 35 points to close at 3608. Hero Honda, Dabur and GAIL were the major losers, however, Tata Motors, Dr Reddy’s Lab and Zee Tele were the major gainers among the 50-scrip’s of NSE Nifty.
Satyam Computer dropped 1.3% to Rs429. According to reports the company planned to spend as much as $50mn to buy a company in the U.S. or Europe. The scrip touched an intra-day high of Rs446 and a low of Rs425 and recorded volumes of over 14,00,000 shares on NSE.
TCS gained 0.5% to Rs1237 after the company yesterday announced that they have won order from Temasek. The scrip touched an intra-day high of Rs1257 and a low of Rs1215 and recorded volumes of over 10,00,000 shares on NSE.
Metal stocks lost their shine on back of selling pressure. Nalco lost 1.3% to Rs230, SAIL was down 0.7% to Rs102, Tata Steel declined 0.7% to Rs430 and Hindalco slipped 0.8% to Rs129.
Cement stocks also were on the receiving end. Gujarat Ambuja slipped 2.1% to Rs103, ACC was down 1.8% to Rs723, Grasim declined 0.5% to Rs2013 and Mangalam Cement lost 4% to Rs143.
Real Estate stocks witnessed profit booking after recent gains. Century Textile declined 4.7% to Rs507, Mahindra Gesco lost 3.5% to Rs602, Bombay Dyeing was down 2.1% to Rs531 and Parsvnath has lost 1.5% to Rs271.
Auto stock ended lower on back selling pressure. Maruti slipped 2.1% to Rs780, Hero Honda was down 3.4% to Rs650, M&M dropped 2.1% to Rs730 and TVS Motors declined 0.3% to Rs61.