Bears get overbearing

Today's major news

Hindustan Unilever’s net grew by 5% to Rs4,504.30 crore; the stock closes lower by 1.72%

IDFC’ Q3 net rises 39% to Rs240 crore; the stock sheds 2.77%

Edelweiss to acquire Anagram Capital; the stock slides 2.63%

India Infoline acquires Orient Global's stake in its unlisted subsidiaries; the stock tumbles 6.33%

GMDC’ Q3 net down 4.71%; the stock declines 7.07%

Click here for more stories

Post-market summary

Global signals

European indices were trading lower in early trades on Wednesday, with banks leading the chart of losers. At the time of writing this report FTSE 100 was down by 0.93%.

All the major Asian indices closed lower with the Shanghai Composite breaking 3000 level, closing at 2986. SGX Nifty fell 153 points.

US stock futures opened mixed on Wednesday with some caution expected ahead of the Federal Reserve interest rate decision later in the day.

Indian indices

Taking lead from the weak global markets and the quarterly review of the monetary policy scheduled on Friday (January 29, 2010) domestic indices extended their losing streak to fifth day on a row. Interest rate sensitive sectors like in realty, banking, and auto and metal shares combined with lower opening in European markets triggered a sell-off in the market. The Sensex that opened 72 points lower at 16708 (the day’s high), soon extend its losses and touched the day’s low of 16231. Nifty also breached the crucial 5000 and 4900 levels. At finishing line, the Sensex was at 16290, 491 points lower. Nifty closed 155 points lower at 4853.

Sensex sentiment

Declining stocks outnumbered advancing stocks. Of the 2,944 stocks traded on the BSE, 2581 stocks declined, whereas 338 stocks advanced. Twenty-five stocks closed unchanged.

Sectoral & stock screening

Bears were on prowl sparing none, with realty, metal and auto scrips hit the most with the BSE Realty down by 7.97%, BSE metal lower by 5.81% and BSE Auto hit by 4.78%. The remaining sector indices slipped between 0.71-4.19%.

On the stocks' front, Cadila Healthcare surged the most—by 7.08%—followed by Koutons Retail, which rose 4.34%, and Cummins India that jumped 2.63%. On the losers’ list, India Bulls Financial topped with a loss of 13.13%, followed by Gujarat NRE Coke, which slid by 12.28%, and Rashtriya Chemicals, which fell by 11.72%.

Viewing volumes

On a day when Indian markets witnessed the highest ever volumes, India’s second biggest realty company, Unitech, saw highest trading with over 1.33 crore shares changing hands on the BSE, followed by wind turbine major, Suzlon Energy (1.12 crore shares), public sector unit Rashtriya Chemicals (0.88 crore shares), Ispat Industries (0.79 crore shares) and Industrial finance company IFCI (0.52 crore shares).