Moneycontrol
May 08, 2012 03:13 PM IST | Source: Reuters

Sensex falls; IT, Reliance Industries hit

The BSE Sensex falls 0.73%, while the Nifty loses 0.73% led by fall in tech shares and Reliance Industries.

Sensex falls; IT, Reliance Industries hit

The BSE Sensex falls 0.73%, while the Nifty loses 0.73% led by fall in tech shares and Reliance Industries.


Worries about earnings hit software services exporters, sending Tata Consultancy Services down 5.1% and Infosys down 2.6%.


Reliance Industries shares falls 1.5% on lingering concerns about a standoff with the government over pricing of gas and recovery of input costs from projects. Reliance shares may also be hit after oil minister says output from D6 block to fall to 20 million standard cubic metres a day in 2014/15, from an estimated 28 mscmd in this fiscal year.


Outlook may turn more negative after RBI deputy governor Subir Gokarn says risk of inflation becoming resurgent "significant", and there is limited room for further interest rate easing in current scenario.


Finance Minister said on Monday GAAR would be delayed until fiscal 2013-14.

JPMorgan sees a relief rally of 3-5% after GAAR postponed, but adds that fundamental issues, including economic growth and fiscal deficit, need to be addressed.

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