Markets close volatile trade in red

The Indian markets ended a volatile session lower for the fourth straight day. The Sensex fell 72 points and the Nifty slid by 21 points

Major headlines

September Services PMI shrinks, signals broader economic slowdown

SBI overseas borrowing costs to surge 1-2 bps after downgrade

Rolta India hits 52-week low

Suzlon receives 25.5 MW order from GAIL

Godrej Properties enters into agreement with Godrej & Boyce



Indian indices

The Indian markets were highly volatile in today’s trade and closed the session on a negative note. Weakness in the banking space weighed on the sentiments for the second day, with two major banks — ICICI Bank down by 2.72% and SBI down by 4%. Investors booked profits near intermediate resistance levels, which led the markets to end lower. Major heavyweight draggers — RIL, ICICI Bank, SBI, BHEL, HDFC Bank, Hindalco Industries and Bharti Airtel.

Sensex movements: The Sensex started the session 103 points higher at 15968. After opening in green, the index remained rangebound in the first half of trade. In the early afternoon session, the index hit the intraday high of 16045 tracking gains in European stocks. However, the index slipped in the negative zone and hit the intraday low of 15761 on profit booking. The Sensex swung between gains and loses all throughout the day. The Sensex fell 72 points to close at 15792 and the Nifty settled at 4751, down by 21 points.

Market sentiment

The market breadth was negative, with 1642 shares falling and 1086 shares rising.

Viewing volumes

A Jaypee Group firm - Jaiprakash Associates witnessed highest trading with over 0.36 crore shares changing hands on the BSE. Following that Indian shipbuilder - Pipavav Defence (0.24 crore shares), wind turbine major — Suzlon Energy (0.23 crore shares), industrial finance company - IFCI (0.23 crore shares) and one of India's largest state-owned banks — Union Bank (0.23 crore shares).

Sectoral & stock screening

Among the 13 sectors, nine closed the session on a negative note. BSE Bankex was the top loser declining by 2.52%, followed by BSE PSU down by 0.67% and BSE CD dipped by 0.62%. Gainers — BSE HC gained by 0.80%, BSE Realty up by 0.55% and BSE FMCG jumped by 0.52%.

In 'A' group stocks, top gainers — Sun TV Network shot up by 5.13%, Educomp Solutions advanced by 4.02% and Areva T&D India surged by 4%. Major losers -— Jain Irrigation Systems went down by 6.89%, Shree Renuka Sugars slipped by 5.51% and Indian Bank dipped by 5.13%.

Global signals

The European stocks rose on Wednesday amid speculation that policy makers are examining measures to shield banks from the sovereign-debt crisis.

The Asian markets closed mixed on Wednesday. Shanghai Composite and Hang Seng were shut.

The US stock index futures point to a higher opening on the Wall Street on Wednesday.

Market Outlook: Data releases in the US — ADP Employment Report and ISM Non-Manufacturing Index.