Sensex slides 310 pts on weak infy guidance, inflation nos
Indian equity benchmarks shattered after the IT bellwether Infosys' disappointing earnings per share guidance for FY12 and spike up in inflation numbers on Friday.
April 16, 2011 / 16:32 IST
Indian equity benchmarks shattered after the IT bellwether Infosys' disappointing earnings per share guidance for FY12 and spike up in inflation numbers on Friday. Unwinding pressure and build up of shorts halted the Wednesday's surprised rally by erasing more than 75% of gains on the Nifty in today's trade.
The 50-share NSE Nifty shed more than 100 points during the day to hit a day's low of 5806, before closing at 5,824.55, down 86.95 points or 1.47%, dragged down by 42 stocks out of 50. Mitesh Thacker of miteshthacker.com feels that the market might be in the range of 5750-5910 for next few days. "Clearly 5900 is the level to watch for an upside breakout. Though with CNX IT and lot of IT heavy weights chart has been damaged which might take a bit more of consolidation before the markets eventually cross those levels. On the downside - 5750-5760 is a very good level, the 200 DMA is at about 5730. So there are early signs of a range being developing over here. For the next few days we might be in this range." Fourth quarter numbers and guidance for FY12 from the India's second largest IT services exporter Infosys dampened the mood on the Dalal Street today. The stock tumbled nearly 10%, to settle below the Rs 3,000 a share, which shed more than Rs 18,500 crore in market cap Infosys reported a net profit of Rs 1,818 crore up 17.1% year-on-year, while revenue was up 22% on year to Rs 7,250 crore in the fourth quarter. Analysts had expected the company
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