The key benchmark indices extended losses for the third straight day on fears below-normal rains may hamper a nascent economic recovery. Concerns about the spread of the deadly swine flu and weak European stocks also weighed on the sentiment. The BSE 30-share Sensex lost 150.47 points or 0.99%, off close to 410 points from the day's high and up close to 110 points from the day's low. The Sensex fell below the psychological 15,000 mark in intraday trade but settled just above that level.
Auto, cement, capital goods and FMCG stocks fell even as IT stocks rose. Index heavyweight Reliance Industries (RIL) edged lower in volatile trade. The barometer index BSE Sensex has plunged 894.06 points or 5.62% in last three trading sessions. From a 14-month closing high of 15,924.23 on 3 August 2009, the Sensex has lost 914.46 points or 5.74% in last five trading sessions.
Trade was choppy today, The market pared gains after a firm start triggered by better-than-expected US and Japanese economic data. It lost further ground later, slipping into the red from green as below normal monsoon rains and spread of the deadly swine flu in the country weighed on the sentiment. The Sensex fell below the psychological 15,000 mark. It soon regained that psychological level as the market cut losses in early afternoon trade. The market moved into the green from red in early afternoon trade. The market moved between positive and negative zone in mid-afternoon trade. The market tumbled to a fresh intraday low in late trade, once again falling below the 15,000 mark.
Investors are worried that scanty rains may hamper a nascent revival in the domestic economy. Media reports today, suggested that the monsoon deficit in the current season had widened to 28% on 8 August from 25% on 5 August 2009. On the flip side, rains are likely to improve n soybean-growing central Indian and cane-growing northwest region by Wednesday, 12 August 2009, reports suggest.
The South West monsoon rains were 64% below normal in the seven days to 5 August 2009, dipping for the second straight week at a crucial period for oilseeds and sugarcane, and raising concerns of rising food prices. The total rainfall from 1 June 2009 to 5 August 2009 was a quarter below average, the India Meteorological Department said on 6 August 2009.
Nifty August 2009 futures were at 4388.05, at a huge discount of 49.60 points as compared to the spot closing of 4437.65. Turnover in NSE's futures & options (F&O) segment rose to Rs 68,493.48 crore from Rs 65,231.26 crore on Friday 7 August 2009.
Reliance Industries August 2009 futures were at discount at 1976.10 compared to the spot closing of 1988.10.
Tata Steel August 2009 futures were at discount at 447.50 compared to the spot closing of 456.05.
ICICI Bank August 2009 futures were at a slight discount at 717.20 compared to the spot closing of 718.70.
In the cash market, the S&P CNX Nifty lost 43.75 points or 0.98% at 4437.65.
The initial public offer (IPO) of NHPC, which opened for subscription on Friday 7 August 2009, was subscribed 3.73 times. At the end of second day of IPO, the NHPC IPO received bids for 626.48 crore shares compared to the issue size of 167.7 crore shares. NHPC is planning to raise Rs 6,040 crore at the upper end of the issue price band of Rs 36. The government kickstarts the divestment process by selling shares in NHPC.
No comments:
Post a Comment