Sensex sees lowest closing for 2008 on dismal global cues

20 November 2008

Sharp slump in the US as well as in Asian and European markets, due to cut in US economic growth forecast of 2008-2010 by Fed and weak housing data, has weighed on our markets. The Sensex closed below October 27, 2008 closing values. The benchmark indices remained under pressure throughout the session, despite showing a bit of recovery in the last 15 minutes of trade due to short covering. It was the seventh straight day that the markets shut shop in negative terrain.

Oil, private banking, metal, realty, auto, telecom, technology and capital goods stocks witnessed selling pressure. Reliance Industries, Bharti Airtel, Reliance Communication, DLF, ICICI Bank, Infosys, HDFC Bank, HDFC, BHEL, Unitech, Cairn India, TCS, L&T, Maruti Suzuki, Tata Power and Sterlite Industries were major contributors to this fall.

The Sensex closed below October 27, 2008 closing value of 8509.56, respectively. The 30-share BSE Sensex shed 322.77 points or 3.68% to settle at 8,451.01, after hitting an intraday low of 8,316.39.

The 50-share NSE Nifty touched day's low of 2502.90, before slipping by 81.85 points or 3.11%, to close at 2553.15. However, both indices were way above their October 27 intraday lows of 7697.39 and 2252.75.

Volumes were tepid in today's trade. Total traded turnover stood at Rs 48,668.02 crore. This includes Rs 7,788.87 crore from NSE cash segment, Rs 37,983.83 crore from NSE F&O and the balance Rs 2,895.32 crore from BSE Cash segment.

The BSE Midcap Index shut the shop at 2,895.79, down 102.60 points or 3.42% over previous close. The Small cap Index fell 107.78 points or 3.09% to 3,385.34.