Sensex slips below 20K mark; Tata Motors drops 6%
Jan 24 2013 , Mumbai
After a better start at 20,072.28, the Sensex fell by 102.83 points, or 0.51 per cent to 19,923.78 as auto majors Tata Motors, Maruti Suzuki and M&M recorded losses.
Tata Motors slumped 5.9 per cent after reports stated the company had issued a profit warning at Jaguar Land Rover.
Realty space also saw selling today with HDIL tanking over 22 per cent. Others like Unitech, Anant Raj and Sobha Developers dropped in 5-7 per cent range, pulling down the BSE Realty by over 4 per cent -- the worst among sectoral indices.
On the similar lines, the broad-based National Stock Exchange ined Nifty fell by 34.95 points, or 0.58 per cent to end at 6,019.35, after touching a low of 6,007.85.
"The Nifty opened on a muted note and profit booking across the board ensured a weak closing near the psychological level of 6000," said Shubham Agarwal, Associate VP and Senior Technical Equities Analyst, Motilal Oswal Securities.
Brokers said the selling pressure emerged at existing higher levels as investors sold blue-chips that had surged in the recent past on government's reform initiatives.
Interest-rate sensitive stocks, like ICICI Bank, HDFC and SBI, logged losses ahead of cautious stance adopted by market participants ahead of the RBI policy meeting on January 29.
However, a firm trend in FMCG, Information Technology and Capital Goods sectors saved the market from any major fall.
Markets @ 10.30 AM (PTI)
Surrendering all initial gains, the BSE benchmark Sensex today lost 101 points in the late morning trade due to fresh selling pressure, mainly in auto, realty and metal sectors amid mixed Asian cues.
The 30-share barometer resumed lower at 20,017.20 but recovered immediately to 20,072.28 on sustained buying by funds and retailers in oil and gas, PSUs, IT and banking sector, after Finance Minister P Chidambaram reaffirmed government's commitment to reforms.
However, it declined afterwards to 19,889.25 before quoting at 19,925.90 at 1030 hrs due to fresh selling pressure.
The NSE 50-share Nifty also moved down by 32.05 points of 0.53 per cent to 6,022.25 at 1030 hrs.
Major losers were Tata Motors (6.79 per cent), Gail India (3.12 per cent), M&M (2.69 per cent), Sterlite Ind (2.57 per cent), Hindalco (2.25 per cent), Tata Power (1.64 per cent), Jindal Steel (1.50 per cent), Cipla (1.43 per cent) and Hero Motocorp (1.11 per cent).
Foreign institutional investors (FIIs) bought shares worth a net Rs 802.62 crs yesterday as per provisional data from the stock exchanges.
Most Asian stocks fell in the early trade after a report showed China's manufacturing exceeded estimates. Key benchmark indices in China, Hong Kong, Taiwan and South Korea fell by 0.07 per cent to 0.46 per cent, while indices in Japan and Singapore rose by 0.32 per cent to 0.85 per cent.
Markets @ 09.00 AM (PTI)
The BSE benchmark Sensex today gained over 45 points in early trade on sustained buying by funds and retailers in oil and gas, PSUs, IT and banking sector stocks, after Finance Minister P Chidambaram reaffirmed government's commitment to reforms.
The 30-share barometer moved up by 45.67 points, or 0.22 per cent, to trade at 20,072.28 points in early trade. The index had gained 45.04 points yesterday.
The wide-based index of National Stock Exchange, Nifty, gained 11.