Bail-out approval fails to raise spirits

The market crashed by 5.78% or 725 points in tune with other major global indices, as concerns of recession in the US economy played on investor sentiment despite the passing of the $700 billion bail-out bill by the US House of Representatives. After losing more than 529 points on Friday, Sensex resumed 242 points lower at 12,284 and tanked by another 550 points to touch the day's low of 11,732, due to relentless selling in consumer durable (CD), realty, and metal stocks. Though Sensex managed to recover 69 points in late trades, it still ended with losses of 725 points at 11,802. The 50-stock Nifty of the NSE shed 5.65% or 216 points to close at 3,602.

The market breadth was extremely negative. Of the 2,677 stocks traded on the BSE, 2,368 stocks declined whereas only 282 stocks advanced. Twenty seven stocks ended unchanged. All the 13 sectoral indices were battered. Among the major losers, the BSE CD lost 11.01%, BSE Realty dropped 9.91%, BSE Metal shed 9.27%, BSE CG index declined by 7.27% and the BSE Power fell 7.24%.

All the 30 stocks that make the Sensex ended in the red. Among the major losers, Sterlite Industries plummeted by 15.26% at Rs335.35, Reliance Infrastructure tanked by 13.93% at Rs638, JP Associates dropped 13.57% at Rs100.35, Tata Steel slumped 11.06% at Rs350.25, DLF crumbled by 10.33% at Rs301.65 and Reliance Communications shed 9.95% at Rs300.05. Grasim Industries at Rs1,590.80, BHEL at Rs1,433, Reliance Industries at Rs1,632.10, Ranbaxy Laboratories at Rs246.45, Larsen & Toubro at Rs1,069, Wipro at Rs319.60, Satyam Computer Services at Rs294.30, Tata Consultancy Services (TCS) at Rs619.25 and HDFC Bank at Rs1,192.50 shed over 5-9% each.

Over 1.29 crore shares of 20 Microns changed hands on the BSE followed by IFCI (1.05 crore shares), Reliance Natural Resources (1.04 crore shares), Reliance Petroleum (0.71 crore shares) and Ispat Industries (0.59 crore shares).

Reliance Industries was the most actively traded counter on the BSE and registered a turnover of Rs380 crore followed by Reliance Capital (Rs244 crore), Axis Bank (Rs141 crore), ICICI Bank (Rs119 crore) and Tata Steel (Rs117 crore).