Realty, Metal, And Banking Hit
The markets have been seeing some weak global cues because of the financial crises in the USA and the fate of the $700 billion bailout which still hangs in the balance as the wise men in Washington sit in judgment over the fate of the developed financial world. The markets were down in sympathy in India and elsewhere.
The Sensex closed just over the 13100 mark as the markets ended in the red by 445 points or 3.28%. There were losses in every sector except for the FMCG one which went up by 0.96%.
This was the sole gainer among the sectoral indices however, with all others ending firmly in the red. Realty, Metal and Bankex were the worst hit losing 6.33%, 4.76% and 4.27% in that order. The Capital Goods sector also went down by 4.10%. The Midcap, Smallcap, BSE100, BSE200 and BSE500 also lost near 3%.
There were 42 declines among the Nifty pack which drove the index down by 3.05% or 125 points. This caused the Nifty to close below the 4000 point mark at 3985.25 as opposed to 4110.55 it had closed on at the end of Thursday's trade.
Tata Communications went up by 6%, bucking the trend of the index. ITC, HUL, ACC and Cipla were the other gainers on the list. There were a number of losers and substantial ones among them.
Ranbaxy continues its downtrend losing another 8.11% as Unitech shed some more of its value as it went down by 7.96%. SAIL, Siemens and Sterlite all went down by over 6% each.
Globally markets were rather weak with European markets down by between 1% and 2%. The Nikkei was down by 0.94% while the Hang Seng went down by 2.02%.
Among the Asian markets India was the worst performing trailed by the Korean Kospi which was down by 1.68%. The FIIs unloaded by another 643.04 crore. However, the DIIs did a much better job of mopping it up pulling 543.57 crore worth of equities into their fold.
On the technical side, Alex Mathew Head, Research Centre Geojit Financial Services Limited said, "Nifty has resistance at 4175 and 4265. Movements above this can create fresh buying interest. On the other hand a fall below 3950 can cause further weakness."
The next few days can determine the direction of the market for some time. With the Nuclear Deal and the decision on the Fed's bailout on the anvil, all eyes seem to be on Washington.
