Post Market Commentary - May 8 2008

The domestic market closed in deep red due to heavy selling pressures across the sectoral indices. The market tumbles since the initial bell by tracking the weak cues from the global market and kept on hovering in the negative territory throughout the trading session. Due to lack of investors interest in buying as crude oil price touched a record high of $123 per barrel on Wednesday, led the investors to take cautious approach to book their position UBS, Switzerland largest bank has announced 5,500 job cuts this year contributed to hit the market sentiment. From the sectoral front, the capital goods and banking stocks faced the heavy selling pressures across the counters and FMCG, technology, Oil & Gas, realty and IT stocks also adds to the fall. The market breadth was negative as 1590 stocks closed in red while 1104 stocks closed in green.

The BSE Sensex closed lower by 258.66 points at 17,080.65 and NSE Nifty fell by 53.8 points to close at 5,081.70. The BSE Mid Caps and Small Cap closed lower by 48.14 points and 38.13 points at 7,153.43 and 8,689.04 respectively.

Losers from the BSE are ITC Ltd (5.24%), Satyam Computers (3.72%), Infosys Techonologies (3.44%), L & T (3.36%), ICICI Bank (3.00%), Reliance Energy (2.93%) and TCS (2.33%).

The Capital Goods index declined by 266.43 points to close at 13,375.19. Major losers are Jyoti Structures(4.71%), Kirlosker Br (4.24%), L & T (3.36%), KIR Oil ENG (2.51%), BEML Ltd (2.15%) and Cromton Greaves Ltd (1.79%).

The Bankex index fell by 261.43 points to close at 8755.48 as Kotak Bank (6.41%), BOB (5.651%), Axis bank (4.83%), Union bank (3.69%), ICICI Bank (3.00%), and Yes bank (2.99%) closed in negative territory.

The IT index dropped by 118.84 points to close at 4294.46 as MPHASIS Ltd (3.96%), Satyam Computer (3.72%), Infosys Techonology (3.44%), TCS Ltd (2.33%), Tech Mahindra (2.11%), I-Flex (2.10%), Financial Tech (2.00%), and HCL Tech (1.82%) closed in negative.

The Oil & Gas index closed lower by 95.01 points at 11,628.45. Lossers are RIL Natural Res (3.69%), GAIL India (2.95%), IOC (2.04%) and Reliance Petroleum (1.50%).

The Realty index closed lower by 76.88 points at 8,130.70 Losers are Anant Raj (5.85%), Mahindra Life (5.58%), Pheonox (3.00%), Ansal Infrastructure (2.69%), Housing Development (2.16%), and Penland (1.51%).