Markets end lower on profit booking; oil, metal, telecom drag

04 September 2008

Markets moved backward and remained under pressure through the day on the back of profit booking after huge rally seen on Tuesday. Realty, FMCG, oil, metal, telecom, capital goods, power and select financial stocks witnessed selling pressure in today's trade. Weak Asian markets added some fuel to negative sentiments. Top contributors responsible for this sell off were Reliance Industries, ONGC, NTPC, ITC, Sterlite Ind, Bharti Airtel, SAIL, Reliance Communication and HDFC Bank.

However, select buying was seen in technology, pharma and auto stocks. There was lack of buying interest in midcap and small cap stocks, both indices ended lower by 7.84 points and 8.02 points at 5,829.17 and 6,974.37, respectively.

Benchmark indices were in bears' grip and witnessing a bit of choppiness at lower levels. The Sensex closed with a loss of 150.76 points or 1% at 14,899.10 and the Nifty lost 56.25 points or 1.25% to 4447.75. Both indices hit an intraday low of 14,766.01 and 4419.45, respectively.

Inflation is expected to be around same level of 12.40% for the week ended August 23, which did not play any role in today's trade.

Amongst frontliners, Sterlite Industries fell 3.69%, NALCO -3.52%, ABB -3.09%, ONGC -2.97%, HDFC Bank -2.80%, Reliance Industries -2.75%, Unitech -2.74% and ITC -2.62%. However, BPCL jumped up by 3.97%, GAIL 3.49%, Maruti Suzuki 3.37%, Hindalco 2.30%, Tata Power 2.22% and Jaiprakash Associates 1.79%.

BSE Realty Index collapsed like a pack of card, plunged 171.55 points or 3.2% to 5,195.72. Indiabulls Real crashed over 10%. Peninsula Land, HDIL, Ansal Properties, Puravankara Projects, Unitech, Anant Raj Ind and Mahindra Life lost 2-4%.