Sensex ends 137 points lower on selling pressure

Investors dumped technology stocks ahead of Infosys’ results tomorrow, which led to a major drag on the markets. The Sensex lost 137 points and the Nifty fell 45 points

Major headlines

Sintex Industries Q1 net profit at Rs69.13 crore

Local car sales up 1.62%, bikes 14.97% in June

Hindalco Industries falls on Environment Ministry action



Indian indices

Sustained selling pressure in technology, metal, banking and realty stocks dragged the Indian markets amid weak global cues. Major heavyweight draggers were - Infosys, DLF, Wipro, Maruti, SBI, TCS, Bharti Airtel, HDFC Bank, HDFC and BHEL. Global indices too were quite nervous on Italy debt concerns. The weakest growth in the US jobs in nine months and concern that Europe’s debt crisis will spread to Italy dimmed the outlook for the global economy. Profit booking led the markets to extend two-day fall.

Sensex movements: Weak global cues pulled the Sensex down by 35 points at 18823 in the opening trade and soon touched the day’s high of 18844. Sell-off in technology shares ahead of Infosys’ Q1 earnings tomorrow weighed on the index. Sustained selling led the Sensex to hit the day’s low of 18679 in late trade. The Sensex shut shop at 18721, down 137 points and the Nifty closed lower by 45 points at 5616.

Market sentiment

The market breadth was in favour of declines, with 1,568 shares losing and 1,291 shares advancing. However, 114 shares remained unchanged.

Viewing volumes

India's second largest developer - Unitech was the most traded share, with over 0.40 crore shares changing hands on the BSE, followed by India's leading integrated infrastructure finance player - IDFC (0.18 crore shares), wind turbine maker - Suzlon Energy (0.15 crore shares), the world's largest coal miner - Coal India (0.14 crore shares) and one of the fastest growing integrated infrastructure enterprises of India - Lanco Infratech (0.14 crore shares).

Sectoral & stock screening

Only three sectoral indices managed to rise - BSE FMCG gained by 0.52%, BSE CD rose 0.50% and BSE Oil & Gas went up by 0.13%. Major losers - BSE Realty lost the most by 2.54%, then comes BSE IT down by 1.73% and BSE TECk slipped by 1.58%.

In 'A' group stocks, SKS Microfinance was the biggest gainer surging by 10%, Motherson Sumi Systems rose by 5.59% and Dish TV India went up by 3.27%. On the flip side, D B Realty was the major loser declining by 6.37%, Unitech slid by 5.88% and Hindalco Industries dropped by 4.41%.

Global signals

The European stock markets fell on Monday, as fears grew that the threat of euro-zone debt contagion may be spreading to Italy, prompting investors to flock to the dollar and core European government bonds.

The Asian markets finished on a negative note on Monday hurt by weak US and Chinese economic data. However, Shanghai Composite stood the only gainer.

The US stock index futures point to a lower opening on the Wall Street on Monday.