BSE Sensex down 50 pts
The Bombay Stock Exchange (BSE) Sensitive Index dropped 0.3% on Tuesday, mirroring weak global markets, with Reliance Industries (RIL) and Tata Motors leading the decline.
The 30-share Sensex closed 0.29%, or 50.06 points, lower at 17,052.54, after testing six-month closing highs in the previous session. Nineteen of its components lost ground. “People are a bit cautious now,” said Deven Choksey, managing director and CEO of KR Choksey Shares, a Mumbai-based brokerage.
World stocks inched lower from the previous day’s six-week high as investors grew cautious after a recent rally in riskier assets. The main BSE index is still up 4.9% since the Union Budget announcement on February 26, which pushed for fiscal consolidation and left higher consumption power in the hands of individuals.
Tata Motors closed 3.2% lower at Rs 770.90, as German carmaker Daimler sold all of its 5.34% stake in India’s top vehicle maker to various groups of investors. The stock had declined as much as 5.9% earlier in the day. “Daimler’s decision was a strategic one and does not impact Tata Motors in any way,” said Mr Choksey. “They just held a minority stake and it made sense to exit that.”
RIL, which has the highest weight on the main index, declined 1.5% to Rs 990.20. LyondellBasell filed a restructuring plan on Monday, rejecting a takeover bid from Reliance Industries in favour of commitments from investors, including Apollo Management and Access Industries, to help the chemicals maker exit bankruptcy.
Non-ferrous metals producer Sterlite Industries declined 1.1% as copper prices edged lower. Hindalco and Tata Steel, the world’s eighth-largest steel maker by output, shed 2.6% and 1.3% respectively. IT companies led the gainers on good business momentum, analysts said. TCS gained 1.1%, while Infosys and Wipro rose 0.9% and 0.5% respectively.
In the broader market, decliners outnumbered gainers in the ratio of 1.7:1 on a volume of 454 million shares. The NSE Nifty declined 0.4% to 5,101.50.
News beuro,
The Bombay Stock Exchange (BSE) Sensitive Index dropped 0.3% on Tuesday, mirroring weak global markets, with Reliance Industries (RIL) and Tata Motors leading the decline.
The 30-share Sensex closed 0.29%, or 50.06 points, lower at 17,052.54, after testing six-month closing highs in the previous session. Nineteen of its components lost ground. “People are a bit cautious now,” said Deven Choksey, managing director and CEO of KR Choksey Shares, a Mumbai-based brokerage.
World stocks inched lower from the previous day’s six-week high as investors grew cautious after a recent rally in riskier assets. The main BSE index is still up 4.9% since the Union Budget announcement on February 26, which pushed for fiscal consolidation and left higher consumption power in the hands of individuals.
Tata Motors closed 3.2% lower at Rs 770.90, as German carmaker Daimler sold all of its 5.34% stake in India’s top vehicle maker to various groups of investors. The stock had declined as much as 5.9% earlier in the day. “Daimler’s decision was a strategic one and does not impact Tata Motors in any way,” said Mr Choksey. “They just held a minority stake and it made sense to exit that.”
RIL, which has the highest weight on the main index, declined 1.5% to Rs 990.20. LyondellBasell filed a restructuring plan on Monday, rejecting a takeover bid from Reliance Industries in favour of commitments from investors, including Apollo Management and Access Industries, to help the chemicals maker exit bankruptcy.
Non-ferrous metals producer Sterlite Industries declined 1.1% as copper prices edged lower. Hindalco and Tata Steel, the world’s eighth-largest steel maker by output, shed 2.6% and 1.3% respectively. IT companies led the gainers on good business momentum, analysts said. TCS gained 1.1%, while Infosys and Wipro rose 0.9% and 0.5% respectively.
In the broader market, decliners outnumbered gainers in the ratio of 1.7:1 on a volume of 454 million shares. The NSE Nifty declined 0.4% to 5,101.50.
News beuro,
- Last Modified: March 10, 2010
- Filed Under: Latest News, MARKETS, NATION, WORLD
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