Sensex, Nifty open 1% lower on global sell-off

The BSE Sensex and NSE Nifty started off trade with a 1% gap down following downward journey across the globe on growth concerns, but benchmarks immediately pared somewhat losses. Asian markets were down between 0.5% and 2%.

The BSE benchmark fell 105 points to 16,926.70 and the NSE benchmark was down 32.85 points to 5,132.15.

The Indian rupee was moving towards the 57 level on huge demand for US dollar from corporates. It was trading at 56.86 as against the US dollar, down 56 paise.

Shares of cement companies caught in bear grip after Competition Commission of India slapped with a fine of Rs 6,200 crore on 11 cement companies. JP Associates crashed 4%. Ambuja Cements and ACC were down 3% each.

Among others, Grasim, India Cements, Ultratech Cement and JK Cement slipped 1.5-3%.

Banks stocks were down after rating agency Moody’s downgraded 15 biggest global banks by 1-3 notches.

Sterlite, Hindalco Industries, Infosys, Sesa Goa, HDFC, ICICI Bank, PNB, SBI and ONGC were under pressure.

However, oil marketing companies like BPCL, IOC and HPCL rallied 1-2% as crude oil prices have fallen 3% yesterday in international market on demand worries.

ITC, HUL, Cipla and Hero Motocorp were marginally higher.

The CNX Midcap Index fell 56 points to 7,072 as about five shares declined for every share rising on the National Stock Exchange.

In the second line shares, NCC, Lanco Infratech, GMR Infrastructure and GVK Power were down 1.5-2.5%.

Apollo Tyres, S Kumars, Titan Industries and Educomp fell 1.5% each.

Idea Cellular tanked 2% amid large volumes while Reliance Communications slipped 1%.

However, Pipavav Defence, Essar Oil and Manappuram Finance gained 0.5%. WWIL shot up 3.75%.