The rupee collapsed to a fresh low of 73.82 intraday against the US dollar amid rising global oil prices, deepening concerns about the current account deficit and capital outflows. The currency fell 24 paise to close at 73.58 a dollar today and depreciated 15.5 percent year-to-date, effectively becoming the worst performing Asian currency.
More than Rs 3.3 lakh crore of investors' wealth eroded in a single day.
Fund managers ready to go shopping after sharp correction in stocks
Mutual funds that were holding around 8-10 percent cash level in their equity portfolio are likely to purchase shares of companies in banking and financial services, information technology, pharmaceuticals
Gainers and Losers
HPCL, BPCL and IOC were biggest losers among Nifty50 stocks, falling more than 11 percent after Finance Minister Arun Jaitley said the government cut excise duty on petrol & diesel by Rs 1.50 per litre. "Oil marketing companies will absorb Re 1 per litre w.r.t petrol & diesel prices."
Reliance Industries (6.87 percent) and Eicher Motors (5.71 percent) were other losers while ICICI Bank bucked the trend, rising 4.21 percent followed by Axis Bank (up 2.45 percent), UltraTechCement (2.16 percent), Bharti Infratel (1.77 percent) and Yes Bank (up 1.06 percent).
Market Closing Update
Benchmark indices closed sharply lower on Wednesday with the Sensex losing 806.47 points or 2.24 percent to 35,169.16 as all sectoral indices ended in the red.
The 50-share NSE Nifty plunged 259 points or 2.39 percent to 10,599.30. More than two shares declined for every share rising on the BSE.
JLR UK Sales for September
Tata Motors' subsidiary Jaguar Land Rover sold 19,874 units in UK in September, down 2.6 percent compared to 20,403 units sold in same month last year.
Jaguar sales increased 2.1 percent year-on-year to 7,047 units while Land Rover sales slipped 3.8 percent to 12,827 units in month gone by.
OMCs decline on excise cut: Shares of Oil marketing companies slipped up to 11 percent after government cut excise on petrol and diesel by Rs 1.50, while OMC will absorb Re 1 cut.
Finance Minister Arun Jaitley:
Government cuts excise duty on petrol and diesel by Rs 1.50 per litre and OMC will cut excise by Re 1 per litre.
Expect market to become attractive with every correction, says BNP Paribas
In the last nine months, the market was divergent, where domestic consumption oriented stocks were doing very well, while midcaps, small caps and some largecap names were correcting significantly, according to Anand Shah.