The Indian stock market opened lower and lost further ground soon with investors indulging in some heavy selling in banking, metal, FMCG and realty stocks. Oil, automobile and capital goods stocks are down as well, as worries about near term economic outlook continue to hurt sentiment.
Information technology stocks, with a weak rupee and strong results from HCL Technologies aiding sentiment, are trading firm.
The BSE benchmark Sensex, which plunged nearly 230 points to 19,126.82, is now down 188.40 points or 0.98% at 19,159.54. The Nifty index of the National Stock Exchange is down 66.35 points or 1.15% at 5688.70, around 10 points off a low of 5678.60 it touched a little while ago.
BHEL, Jindal Steel & Power, ONGC, Tata Motors, ITC, State Bank of India, Larsen & Toubro, Hindustan Unilever, Hindalco, Hero Motocorp, Cipla, HDFC Bank and HDFC are down 1% - 2.8%. DLF is trading lower by about 6%. IndusInd Bank is down 5.8%. Jaiprakash Associates, BPCL, Bank of Baroda, Kotak Bank, Sesa Goa, Punjab National Bank, Power Grid Corporation, NMDC, Reliance Infrastructure and Ranbaxy Laboratories are down 2% - 4.5%.
HCL Technologies hit a new high on strong result. The company has announced that its consolidated net profit as per US accounting standards rose 16.3% to Rs 1209.60 crore on 8.1% growth in revenue to Rs 6944.20 crore in the quarter ended June 2013, as compared to the previous quarter. Earnings before interest, taxation, depreciation and amortization surged 13.2% to Rs 1628.80 crore in the June quarter. The stock, which spurted to Rs 927.45, is currently up 1.7% at Rs 921.
Bharti Airtel, which rose to 327.80, has eased to Rs 323 now, netting a modest gain. The telecom major has posted a net profit of Rs 689 crore for the quarter ended 30 June 2013, up 35% from the prior corresponding quarter. Net Sales for the quarter declined 1%.