Feb 23, 2011, 04.39 PM | Source: Moneycontrol.com
Indian equity benchmarks continued the downtrend for second consecutive session on the back of fall in European markets and further rise in crude oil prices.
The benchmark Sensex shed about 100 points amid volatility and the Nifty slipped below 5450 level at 14:58 hours, which has been moving in a range of 5400-5500 since previous week. Fall in European markets and rise in crude oil prices could be the reason behind this sell-off.
Crude oil was trading at USD 96.07 a barrel, up by USD 2.5 over previous closing price. European markets like Britain's FTSE was down 0.8%, France's CAC down 0.25% and Germany's DAX down 0.45%.
Financial, technology, infrastructure and realty companies' shares were pulling the markets down. Ranbaxy Labs, ONGC, ITC, Bajaj Auto and Tata Steel too were down.
Shares of India's largest lender SBI tanked 4% followed by ICICI Bank, HDFC Bank, Axis Bank and PNB with 1-1.5% fall. IDFC plunged over 3%. DLF from realty pack slipped 3%.
Infosys, TCS and Wipro from technology pack were down 1-2%. NTPC, BHEL and Jaiprakash Associates declined 1.5-2%.
However, Anil Dhirubhai Ambani Group (ADAG), cement and auto companies' shares were supporting the markets. Reliance Industries, HDFC and Sterlite Industries were gainers.
The 30-share BSE Sensex was trading at 18,175, down 121 points and the 50-share NSE Nifty fell 36 points to 5,433. About 467 shares advanced as against 821 shares declined on National Stock Exchange.
However, Reliance Infrastructure shot up 11%. Hero Honda, Reliance Communications, HDFC, Sterlite Industries, Reliance Capital and Dr Reddy's Labs gained 1.5-3%. Hero Honda surged 5%.
In midcap space, State Bank of Bikaner, State Bank of Mysore, State Bank of Travancore and Man Infra rallied 17-20%. Bajaj Finserv was up 6.62%.
However, Radico Khaitan, Aurobindo Pharma, Kalpataru Power, Punj Lloyd and PTC India fell 5-9%.
In smallcap space, Hexaware Tech, Balkrishna Inds, Goodyear, Prraneta Inds and Geodesic were up 6% while A K Capital Services, JK Cement, KRBL, KPR Mill and Mafatlal Ind slipped 6-12%.