Downfall continues; Sensex tumbles 425 points at close

Weak global environment alongwith rupee falling to record low led to a severe fall in the Indian markets today. The Sensex slid 425 points and the Nifty fell 127 points

Major headlines

FY12 fiscal deficit to exceed 4.6% of GDP target: Montek

Infosys may miss upper end of FY12 $ revenue guidance

Jet Airways awarded 'Best Domestic Airline’

REC rises on buzz of tariff hike

RIL slips as oil min sanctions 'scrupulous' action

Bharti Airtel falls after CBI raid



Indian indices

There was no respite for the Indian markets today due to European jitters, depreciating rupee and US debt problem. Equities across the globe witnessed heavy sell-off as investors moved to less riskier assets. Huge sell-off by the foreign funds also hit sentiments. The Indian markets hit 6-1/2 week lows today, with the Sensex slipping below the 16000 mark and the Nifty falling below 4800 level on tremendous selling pressure.

Sensex movements: Global jitters led the Sensex to start a new week 74 points lower at 16297 and remained under pressure. The index kept its head down and extended losses as the session progressed. In the late trade, the index witnessed sharp cut and touched an intraday low of 15900 on all-round selling, weakness in the European stocks and worsening rupee. The key benchmark indices closed lower for the eight consecutive session, with the Sensex tumbling by 425 points at 15946 and the Nifty falling by 127 points at 4778.

Rupee update: The rupee has broken the crucial 52 mark to the dollar, which is the all-time closing low for the Indian currency. It is now heading to all-time intra-day lows of 52.19 against the dollar. It had fallen past 51 per dollar for the first time in nearly 32 months on Friday. The rupee is the worst performing currency in Asia and has fallen nearly 15% since July, 2011.

Market sentiment

The market breadth stood extremely weak. Of the 2895 stocks traded on the BSE, 786 (27.15%) rose, 1974 (68.19%) fell and 135 (4.66%) were unchanged.

Viewing volumes

Wind turbine major - Suzlon Energy saw highest trading with over 1.03 crore shares changing hands on the BSE. Then comes, Indian shipbuilder - Pipavav Defence and Offshore Engineering Company (0.71 crore shares), sugar making company - Shree Renuka Sugars (0.55 crore shares), Industrial finance company – IFCI (0.44 crore shares) and India's largest automobile company - Tata Motors (0.25 crore shares).

Sectoral & stock screening

All the 13 sectoral indices closed weak. Major losers — BSE Metal down by 3.46%, BSE Bankex dipped by 3.24%, BSE Realty slipped by 3.04%, BSE Power dropped by 2.72% and BSE Auto fell by 2.68%

In 'A' group stocks, biggest gainers — Amtek Auto jumped by 6.30%, Dabur India up by 2.38% and Adani Power rose by 2.09%. Weak movers — Pantaloon Retail (India) declined by 12.38%, Suzlon Energy fell by 10.08% and Rashtriya Chemicals and Fertilizers dipped by 8.76%.

Global Indices:

The European stock markets slumped on Monday (November 21, 2011), hit by the combined fears over ongoing euro-zone debt worries and a rift between members of the US super committee.

The Asian stocks fell on Monday, with key support looking fragile as newly installed European leaders grapple with sovereign debt woes and as a US bipartisan committee looked set to miss a deficit reduction deadline.

The US stock index futures pointed to a sharply lower open for equities on the Wall Street on Monday.

Market Outlook: In the US, Existing Home Sales data will be released on Monday.