Sensex sinks...IT, Banks hammered

After a strong pull back in the previous trading session, bulls were unable to maintain the momentum. However, the NSE Nifty managed to end above the 5750 levels thanks to some buying seen in the Realty stocks.



The banking stocks were the top losers, the index witnessed a steep selloff as it fell 3.5%. Telecom and the Consumer Durables stocks were among the other major laggards. FMCG, Realty and Power are relatively better off.

"Just when we thought that short covering in the F&O space could lift the markets further; today we saw fresh shorts in the banking sector. The IT stocks remained under pressure following Infosys' disappointing results and guidance, today’s fall was seen despite upbeat global cues", says Amar Ambani, Head of Research (India Private Clients) - IIFL.

The BSE Sensex lost 351 points to close at 19,183 and the NSE Nifty slipped 111 points to close at 5,752.

Barring the BSE Realty index all the other sectoral indices ended in red, the BSE Banking index was the top loser the index lost 3.5%, followed by BSE IT index was down 3.4% and the BSE Teck index lost 2.7%.

The broader indices also ended in red, the BSE Mid-Cap index was down 0.8% and BSE Small-Cap index was down 0.7%.

Outside the frontline indices, the big losers in the broader market were Pantaloon, OBC, IOB and Titan. On the other hand, gainers included Adani Ent, Nalco, LITL and Exide Ind.