Sensex down 185 points as stocks lose further ground

Last Updated: Mon, Jul 23, 2012 06:40 hrs

Due to sustained selling in several front line stocks, the market, which opened on a weak note on negative global cues this morning, has slipped a bit deeper into the red now.

Metal stocks are leading the declines, and mirroring their fall, the BSE Metal index is down as much as 2.5% now. The Realty index has lost almost 2% with key stocks in this space losing significant ground. The Power, Capital Goods, Consumer Durables and Automobile indices are down 1.6% - 1.8%.

Several stocks from banking, PSU and information technology sectors too are trading weak. FMCG and healthcare stocks are finding some support at lower levels. Midcap and smallcap stocks are mostly subdued. The market breadth is very weak.

The Sensex is down 184.54 points or 1.08% at 16,973.90, slighly off the day's low of 16,962.57 and the Nifty index of the National Stock Exchange is down with a loss of 58.70 points or 1.1% at 5146.40.

In the currency market, the rupee declined to 55.75 against the U.S. dollar, losing 43 paise from its previous cose of 55.32. A weak stock market and the greenback's surge against the euro and other major currencies is contributing to the rupee's slide.

Sterlite Industries, Hindalco, Jindal Steel and Tata Steel are down 2.8% - 3.5% now. Coal India, the other Metal index component in the Sensex, is down with a loss of about 1.1%.

Maruti Suzuki, hurt by the riots by workers and the subsequent shut down of the company's Manesar plant, is trading lower by 5.6%. Tata Motors and Bajaj Auto are down 1.7% and 1.2%, respectively. Hero Motocorp is trading lower by about 1% and Mahindra & Mahindra is down with a loss of 0.7%.

BHEL and Larsen & Toubro, the capital goods heavyweights, are down 2.8% and 1.1%, respectively. Bharti Airtel, GAIL India, NTPC, Wipro, State Bank of India, ICICI Bank, Infosys, HDFC Bank and ONGC are trading lower by 1% - 2.2%.

Reliance Communications tumbled by over 3% in early trades, after the company shelved a planned Singapore initial public offering for its undersea cable unit, citing unfavourable market conditions.

Shares of Zee Entertainment Enterprises Limited moved up by over 3% this morning thanks to a 21% jump in net profit for the quarter ended 30 June 2012.

Aurobindo Pharma Ltd has informed BSE that it has received final approval for Metformin Hydrochloride Extended Release Tablets. The stock is trading 1.2% up at Rs 109.60 now.

Crompton Greaves has declined on lower than expected earnings in the April - June 2012 quarter. The company said last Friday that it posted a consolidated net profit of Rs 85.9 crore for the first quarter, an 8% surge from what it had recorded in the corresponding quarter last year. The stock is down by over 7% at Rs 121 at present.

Ruchi Soya Industries Limited has posted a net profit of Rs 122.31 crore for the year ended March 31, 2012 as compared to Rs 213.21 crore for the year ended March 31, 2011. Total income increased from Rs 16,762.77 crore for the year ended March 31, 2011 to Rs 26,223.71 crore for the year ended March 31, 2012. The stock is down nearly a percent at Rs 86.80 now.

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