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Thursday, October 23, 2008

Sensex ends at 2 year low


The benchmark Sensex on Thursday tumbled to below 10,000-point level for the second time in five days as sustained selling continued on fears of credit crisis deepening and grim outlook for the domestic corporates.

With foreign funds as the top net sellers, the Sensex, which has breached 10,000-point level twice in the past five days, tumbled by 398.20 points, or 3.92 per cent to 9,771.70, a level last seen on June 20, 2006. The key index hovered between the day's low of 9,681.28 and the high of 10,260.55.

The wide-based National Stock Exchange
index Nifty also saw a drop of 122 points to close at 2,943.15 after touching an intra-day low of 2,917.15 as concerned over a slower growth for corporates, fence-sitters are on a fresh selling spree.

Also adding to the bearish sentiment due to global trouble was Prime Minister Manmohan Singh's statement yesterday that said the country could face a 'temporary slowdown' from 'the ripple effects' of the global financial crisis.

The market major and trend-setter Reliance Industries, tumbled by Rs 100.30, or 7.62 per cent at Rs 1,215.25, its lowest since December 2006.

The second largest heavy-weight on the Sensex, Infosys Technologies dropped by Rs 17.60, 1.35 per cent to Rs 1,282.75. The two carry nearly 23 per cent weightage on the index.

Metal Index suffered the most by losing 622.53 points, or 11.08 per cent at 4,996.92, followed by Auto Index by 215.37 points, or 7.21 per cent at 2769.79.