Wednesday, January 30, 2008

Selling Pressure Intensifies: Bajaj Auto, RIL Worst Hit

MUMBAI: Key indices slumped over 2 per cent as the crack widened tracking declines across global equities. Oil & gas and FMCG shares were the worst hit. Second rung shares were not spared either.

"This is just a continuation of the fall from last week. 4900 is the immediate support on the Nifty. Although there were a couple of spurts as investors went bottom fishing, follow-up selling was definitely on the cards. Sentiment was also affected as RBI failed to deliver on rate cuts, as was widely expected," said technical analyst Sachin Chavan.

At 2:45 pm, the Bombay Stock Exchange's Sensex plummeted 378.34 points or 2.09 per cent to 17,713.60.

The National Stock Exchange's Nifty shed 2.11 per cent or 111 points to 5169.25.

Bajaj Auto (down 6%), Reliance Energy (5.74%), Reliance Communications (4.8%), Hindustan Unilever (4.75%), ONGC (4.5%) and Reliance Industries (4.1%) were chiefly responsible for the fall.

Gainers comprised Ranbaxy Laboratories (1.41%), Ambuja Cements (1.28%), HDFC (1.03%) and Bharti Airtel (1.01%)

BSE Midcap and Smallcap Index were down 2.52 per cent and 2.40 per cent, respectively.

In Europe, London's FTSE was down 0.44 per cent, DAX 30 fell 0.27 per cent and CAC 40 declined 1.28 per cent.

Elsewhere in Asia, Nikkei shed xx per cent, Hang Seng retreated 2.63 per cent and Straits Times was down 1.65 per cent.

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