Sensex ends 460 pts up as heavyweights post strong gains

Sensex ends 460 pts up as heavyweights post strong gains

The market opened on a high note this morning, shrugged off an early setback and gained in strength as the session progressed thanks to frenzied buying, mostly on short-covering, in several blue chip stocks. If the firm trend in US and Asian markets triggered a positive start, it was the market regulator SEBI's warning to foreign funds against overseas lending and borrowing of Indian stocks for going short in Indian markets that resulted in some hectic buying activity in afternoon trade.


The Apex bank had cut repo rate by 100 basis points yesterday afternoon and the move raised hopes of lower lending rates and buoyed up realty, capital goods, auto and consumer durables stocks today. Corporate results reported today turned out to be fairly good and this also had a positive impact on the sentiment.

The Sensex, which opened with a positive gap of over 200 points at 10,428.11 and raced to a high of 10,750.20 in afternoon trade, ended at 10,683.39 with a handsome gain of 460.30 points or 4.5%. The Nifty settled at 3234.90, around 20 points down from the day's high of 3254.85, with a gain of 112.10 points or 3.59%. The Sensex and Nifty had tumbled to 10,250.23 and 3117.35 respectively in early trade this morning.


BSE CD, the consumer durables index, was the biggest gainer today. It ended the day stronger by nearly 9%. The Realty barometer advanced by 8.32%. The Capital Goods index gained 5.48%.

Besides realty and capital goods stocks, information technology stocks were among the star performers today. BSE IT and Teck closed higher by 6.03% and 4.66% respectively.
Power, oil, metal and FMCG stocks recorded handsome gains. Mirroring their surge, the respective sectoral indices moved up by 3% - 4.5% today. The Bankex closed 2.57% up. PSU stocks bounced back after a setback and pharma stocks edged higher after remaining quite subdued in morning trade. BSE HC and PSU ended up by 1.33% and 1.04% respectively. The Auto index closed with a gain of 1.65%.

Hectic buying was seen at several counters in midcap and smallcap segments as well. While the midcap index advanced by 2.31%, the smallcap index gained a little over 2% today.
The market breadth was positive. Out of 2651 stocks traded on BSE, 1613 stocks closed with gains. 975 stocks posted losses and 63 stocks ended flat.

Among Sensex stocks, only Mahindra & Mahindra (down 2.1%) and Hindalco (down 1.65%) failed to make it to the positive territory today. From the Nifty index, Idea Cellular (down 12.8%) suffered a sharp loss due to weak quarterly results. Sun Pharmaceuticals lost a little over 4%. SAIL ended lower by 2.3%. Cipla lost 1.6% and BPCL, the other loser, eased by 0.7%.
Jaiprakash Associates (up 16.25% to Rs 78.70) spurted on strong quarterly results. Tata Consultancy Services rallied sharply in afternoon trade and finished with a sparkling gain of 12.85%. Reliance Communications vaulted 11.25%. Tata Steel recorded a hefty gain of 10.2%.
Satyam Computer Services (9.85%), Tata Power (9.6%), Sterlite Industries (8.6%), Larsen & Toubro (6.15%) and ACC (6.05%) closed on a high note.

Index heavyweight Reliance Industries posted a smart gain of 5.75%. Wipro firmed up by 5.65%. HDFC, Hindustan Unilever, DLF and Reliance Infrastructure gained 5% - 5.25%.
ICICI Bank and BHEL ended stronger by 4.9% and 4.4% respectively. Infosys Technologies (3.9%) and State Bank of India (3.85%) also finished with impressive gains. Maruti Suzuki, Bharti Airtel, ITC, Tata Motors, Grasim Industries and ONGC moved up by 1% - 3%. HDFC Bank, Ranbaxy Laboratories and NTPC closed with marginal gains.

Siemens, Suzlon Energy, HCL Technologies, Unitech, Reliance Petroleum and Cairn India gained 5.5% - 8.5% today. Reliance Power, ABB, Zee Entertainment and Hero Honda also closed with sharp gains.

Indiabulls Real Estate flared up by 27.65% to Rs 136.90 today. Educomp Solutions shot up by nearly 24%. IDFC vaulted 20.85%. HDIL recorded a hefty gain of 19.15%. Titan Industries (17.4%) spurted on strong results. Praj Industries, Divi's Laboratories, India Infoline, Tech Mahindra, Chambal Fertilizers, BGR Energy, Oracle Financial Services, Asian Paints and Nagarjuna Construction Company also rallied sharply and ended stronger by 9%-14% today.
Ruchi Soya, MindTree, Century Plywoods, Prism Cements, EID Parry, Mahindra Lifespace, Core Projects, State Trading Corporation, Kansai Nero, Jai Balaji Industries, PVP Ventures, Penland and Nava Bharat Ventures were some of the big gainers from the midcap index.

Source:Sify.com

Results:MIC,Akruti,KPIT, Mindtree,Indian Hotel etc

KPIT Cummins Infosystems net profit declines 45.83% in the September 2008 quarter
Sales rise 35.22% to Rs 157.22 crore
Mindtree net profit rises 35.35% in the September 2008 quarterSales rise 39.90% to Rs 254.55 crore
J B Chemicals & Pharamaceuticals net profit rises 37.89% in the September 2008 quarterSales rise 31.31% to Rs 213.08 crore
Aztecsoft net profit declines 79.85% in the September 2008 quarter
KRBL net profit rises 55.09% in the September 2008

MIC Electronics net profit rises 138.21% in the September 2008 quarter
Texmaco net profit rises 59.24% in the September 2008 quarter
Voltamp Transformers net profit rises 47.65% in the September 2008 quarter

Sanghvi Movers net profit rises 72.00% in the September 2008 quarter
Titan Industries net profit rises 88.21% in the September 2008 quarter
Rolta India net profit declines 27.28% in the September 2008 quarter


Source:Capital Market.com

Sensex gains 248 pts as IT stks end on a high, Results

Sensex gains 248 pts; IT stocks end on a high note

The market had some positive triggers today. First, a fairly steady trend on the Asian bourses gave the participants something to cheer about. Information technology, metal and FMCG stocks rallied higher on strong buying support and the Sensex moved past 10,300 in morning trade.
Stockometer
And then, when the market appeared to be losing steam, Reserve Bank of India cut repo rate by 100 basis points to 8%. This time, stocks cutting across sectors vaulted higher and lifted the Sensex past 10,500 to a high of 10,538.05. However, amid high volatility, the Sensex gave up its gains and very nearly slipped into the red in mid afternoon trade before it rallied again on some strong buying in the final hour.
Top gainers
Finally, the BSE barometer ended the session at 10,223.09, up 247.74 points or 2.48% over its previous closing mark. The Nifty, which tumbled into the negative territory to 3058.05 from a high of 3238.40, settled at 3122.80 with a sharp gain of 48.45 points or 1.58%.
Worst losers
IT stocks were the favoured ones today. Mirroring the sharp rise in prices of key stocks in that space, the BSE IT shot up by over 8%. Sector heavyweights Infosys Technologies (up nearly 8%), Tata Consultancy Services (9.5%), Wipro (8.95%) and Satyam Computer Services (8.7%) closed with strong gains.
HDFC Bank (5.95%), ICICI Bank (4.95%), HDFC (5.75%), Bharti Airtel (4.65%), ITC (4.1%), Maruti Suzuki (2.7%), Ranbaxy Laboratories (2.15%), Hindalco (1.95%), Tata Steel (1.75%), State Bank of India (1.45%), Jaiprakash Associates (1.45%), Reliance Industries (1.25%) and NTPC (1.2%) ended on a firm note. ONGC gained around half a per cent. Tata Motors finished with a marginal gain.
BHEL went down by 8.2% to Rs 1096.40 on fears of a fall in revenues to high raw material costs. Grasim Industries lost nearly 8%. DLF ended lower by 6.4%. ACC declined 6.1%. Mahindra & Mahindra eased by 5.35%. Tata Power (down 3.7%) and Reliance Infrastructure (down 1.85%) also declined sharply. Reliance Communications, Hindustan Unilever and Sterlite Industries also ended weak, albeit with less pronounced losses.
Nifty stock HCL Technologies spurted nearly 9%. Sun Pharmaceuticals, SAIL and Tata Communications gained 6.5% - 6.75%. Cairn India and Siemens moved up by around 5.4%. ABB, Reliance Power, Punjab National Bank and Power Grid Corporation also closed on a positive note.
Unitech, Ambuja Cements, Zee Entertainment, Cipla, GAIL India, Reliance Petroleum, Idea Cellular, Suzlon energy and Hero Honda ended with sharp losses today.
United Spirits, the biggest gainer among BSE 'A' Group stocks, ended stronger by 12.9%. Rolta India, Dr Reddy's Laboratories, Reliance Capital, Indian Bank, Pantaloon Retail, IVRCL Infrastructure, RECL, Tech Mahindra, India Bulls Real Estate and MphasiS closed on a high note.
Though not much buying was seen in midcap and smallcap segments, a select few managed to close on a firm note today. FSL, Shaw Wallace, Geodesic, Torrent Pharma, Shree Precoated Steel, SKF India, Nagarjuna Fertilizers & Chemicals, Dishman Pharma, Madras Cements, Bajaj Holdings, MindTree, Gammon India, Asian Star, Nagarjuna Construction Company and Dena Bank were among the prominent gainers in the midcap index.
The market breadth was negative right through the session today. Out of 2616 stocks seen in action on the BSE, 1643 stocks closed in the negative territory. 920 stocks posted gains and 53 stocks ended flat.
-------------------------------------
The RBI has cut its key short-term lending rate by 100 basis points
Patel Engg Q2 net up at Rs 43 cr
Petronet LNG Q2 net dips 10% at Rs 103 cr
Gujarat Industries Power to set up two more units
United Phosphorous Q2 net up at Rs 122.04 cr

RBI cuts repo rate by 100 bps to 8 pc
9000 key for Sensex, $700 for gold
Canara Bank Q2 net up at Rs 529.43 cr
Rupee closes at 8-year low against dollar
Idea Cellular PAT dips 45%

Sebi changes tack, says 'options open'; on short sales ban
Indian Hotels Q2 net slides 4.8% to Rs 50.7cr
Provogue (India) net profit rises 14.96% in the September 2008 quarter
Seshasayee Paper & Boards net profit declines 66.98% in the September 2008 quarter
Sunflag Iron & Steel Company net profit rises 100.00% in the September 2008 quarter

Canara Bank net profit rises 31.84% in the September 2008 quarter
Petronet LNG net profit declines 10.51% in the September 2008 quarter
Indian Hotels Co net profit declines 4.85% in the September 2008 quarter
Sterlite Technologies net profit declines 77.70% in the September 2008 quarter
H T Media net profit declines 49.03% in the September 2008 quarter

Idea Cellular net profit declines 31.76% in the September 2008 quarter
Ingersoll-Rand (India) net profit rises 28.22% in the September 2008 quarter
Sanghvi Movers net profit rises 72.00% in the September 2008 quarter
Voltamp Transformers net profit rises 47.65% in the September 2008 quarter
Texmaco net profit rises 59.24% in the September 2008 quarter

The rise and fall of Sensex

The rise and fall of Sensex

Top Non-Sensex Group A Losers since Jan '08 Here's the list of Top Non-Sensex Group A Losers during the Bear Phase from January 10, 2008 to October 17 2008.

Top Non-Sensex Group A Gainers since Feb '06 Here's an insight into the Top Non-Sensex Group A Gainers during the Bull run between February 6, 2006 and January 10, 2008.

Top Sensex Losers since Jan 10, 2008 Going down from 21K to 10K, here's the list of Top Sensex Losers during the Bear Phase from January 10, 2008 to October 17 2008.

Top Sensex Gainers since Feb 2006 Here is an insight into the Top Sensex Gainers during the Bull run between February 6, 2006 and January 10, 2008

Rise, Rise & Fall: 10k-21k and back Sensex took just 191 sessions to return to 10K from a high of 21,207 on Jan 8, 2008.

Top 5 sectors with growth prospects The growth momentum is expected to continue on the back of rising incomes and higher consumer spending.

Does it make sense to invest in gold now? When you can grab more returns with same level of risk in the portfolio, why not invest in the gold.

5 ideal destinations to safely park your money The safest place to bet your hard-earned money is the good old fixed deposit schemes.

Guidelines for investors The banking sector and depositors will not be allowed to suffer by governments the world over.

Liquidity crunch: Bank FDs the safest investment Indian banks are more secure than their Western counterparts, making FDs a safe bet.

Source:ET

Stock, Market Research from ET,BL

Investor's Guide (ET)

Top stories
Banking not a bad investment20 Oct, 2008, 0606 hrs IST, Karan Sehgal
Going by FII actions, it seems that banking is not that bad an investment, the IT sector has not peaked out and pharma is the best defensive bet.

Share buybacks in Asia trump bonds 20 Oct, 2008, 0602 hrs IST
Though bonds offer greater discounts than shares, Asian companies are quickly buying back shares hit by the global financial meltdown, instead of repurchasing debt.

Gail low-risk investment option 20 Oct, 2008, 0552 hrs IST, Ramkrishna Kashelkar
Gail is a low-risk investment option with immediate growth triggers. Its current valuations are attractive for long-term investors.

Where’s The Bottom? 20 Oct, 2008, 0551 hrs IST, Deepak Mohoni
The Bombay Stock Exchange (BSE) Sensitive Index finished 5.25% or 552.5 points lower at the end of a week marked by two strong rallies and three sharp falls.

Fear factor: Stay Safe, Don’t Play 20 Oct, 2008, 0549 hrs IST, Shakti Shankar Patra
Fear is nothing but a measure of the expected volatility, and volatility is one of the most important factors that influence the price of an option contract.

It's a zero sum game 20 Oct, 2008, 0544 hrs IST, Devangi Joshi
Most of the base metals have fallen significantly in the past two months, with prices coming close to their marginal cost of production. There is only limited downside from here onwards.

Bull's Eye: Views on stocks 20 Oct, 2008, 0542 hrs IST

Tata Communications: Largest player in voice communication 20 Oct, 2008, 0528 hrs IST, Santanu Mishra
After the acquisition of VSNL, Tata Communications has transformed itself from a small Indian company to the world’s largest player in voice communication.

Retail sector biggies 20 Oct, 2008, 0528 hrs IST, Supriya Verma
Keeping the festive spirit in mind, this week, ETIG takes a look at retail sector biggies, Pantaloon Retail and Shopper’s Stop.

Some evergreen stocks in bear market 20 Oct, 2008, 0516 hrs IST
There are enough stocks out there which are still giving positive returns since the last bear market. ETIG picks some evergreen stocks.
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Investment World (BusinessLine)

TECHNICAL ANALYSIS: Index OutlookDespite the brouhaha over the Sensex closing below 10000, there are a number of positive takeaways from last week’s proceedings. The regulators appear to have finally identified the cause for the present turmoil and seem to be taking ...

STOCKS: HDFC Bank: BuyInvestors can consider accumulating the HDFC Bank stock with a two-year perspective, given the bank’s resilience in a challenging environment and scope for strong growth in ...

MUTUAL FUNDS: HDFC Top 200 Fund: InvestInvestments can be considered in the units of HDFC Top 200 Fund, considering its good long-term track record and ability to contain losses better than its benchmark during market downturns. The fund has generated returns that have placed it ...

INSIGHT: Why index levels don’t really matterThe unimaginable has happened, with the BSE Sensex closing last week at a four-digit figure. So where is the next ‘support’ for the index? Will it stop at 9700? Or will it head further southwards to 8800? If you are a long-term ...

FOREIGN INSTITUTIONAL INVESTORS: Take note of P-NotesThe restrictions that came as a surprise to many in October last year have now been lifted. Yes, the bar on P-note issues by FIIs was reversed by the Securities and Exchange Board of India (SEBI) early this month. Said to be a move to ...

STOCKS: Suzlon Energy: BuyThe approval of the much-debated renewable energy production tax credit (PTC) by both the US Congress has brought renewed hope for the US wind energy ...

STOCKS: Axis Bank: BuyInvestors with a two-year investment horizon can consider buying the stock of Axis Bank. The bank’s performance has so far allayed fears about an earnings slowdown due to the ongoing global turmoil, high interest rates and ...

STOCKS: Redington India: BuyInvestors willing to bet on the strong domestic and Middle-East’s IT (hardware and software) adoption story can consider buying the shares of Redington India, a hardware, software products and digital products distributor. At Rs 192, ...

Reliance Infra (October 19, 2008)
Index Outlook (October 19, 2008)
Query Corner: What the charts say (October 19, 2008)
Reliance Ind (October 19, 2008)
SBI (October 19, 2008)
Tata Steel (October 19, 2008)
Infosys (October 19, 2008)
Maruti Suzuki

DERIVATIVES MARKETS: Nifty future may see a relief rallyThe bear onslaught, which became prominent in the second half of the week, spoiled the positive mood with which the market began on Monday. Both Nifty and Nifty futures breached their important technical supports during Friday’s ...

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Source:ET,BL.

Article on The global financial crisis:BT

Cover Story
The global financial crisis
Puja Mehra
The green signal for a $700-billion bailout of US banks wasn’t enough to turn the tide in global financial markets. Even six of the world’s central banks coming together to release hundreds of billions into the system couldn’t stem the panic. It has to get worse before it gets better. Puja Mehra reports.
So, where is the money?
Bear hug / Sense of rumour
----------------------------------------------------
Editor's note
From the editor
Rohit Saran
Our primary task was to understand the magnitude of the crisis and give you the most updated assessment of its impact on India. The cover stories (divided into eight small and easy-to-read features) attempts to do exactly this. The spread of our offering ranges from a country-by-country assessment of the financial crisis to the diagnosis and prognosis of the liquidity shortage (including stock market) and a small pointer to the opportunities the crisis has opened up for Indian companies.

Top Mind
Now, get paid to receive SMSes
What is it? A free SMS service from YouMint, started by Ankush Johar, who claims to have pioneered the concept in 2002. Since then, Johar has moved to England and YouMint is his third entrepreneurial venture in the telecom space.

Current
Savvy investor
Rahul Sachitanand
Wipro chief Azim Premji is quietly picking up stakes in companies with strong business models.
Khattar’s second innings
Modi hosts India Inc.
TCS rides to the Citi
Divided we stand
IBM’s discovery of India
Another airport expansion
Opera’s challenge

Noted
Ranked
SBI, which has assets of over Rs 7 lakh crore, 57th in the list of the world’s Top 1,000 banks this year, by the UKbased banking publication The Banker. SBI was ranked 70th last year.

Special
Giants on the prowl
Rahul Sachitanand & Kushan Mitra
Foreign information technology giants aren't just dominating the domestic market, they're opening up new segments and setting the agenda for some categories.
Re-inventing Indian IT
BPO 2.0
Beyond the obvious

Trends
Just wondering...
What happened to Dilip Chhabria’s plans of launching a made-in-India sports car? Well, the plan is on track.
The gap Is growing
New launches
“We will dominate the Indian market”
The big fall
Tugging at your heart strings
Instan tip
Now, get paid to receive SMSes
Numbers of note
Ranked
Now, shop online for loans
The 6 most over-hyped gadgets
Out in the open
Economy watch
Talebearer
How times have changed
Reprieve for ad industry
India slips on competitiveness
To be precise
Liberal ECB norms on the cards

Money
The slowdown-proof stocks
Rishi Joshi
It's bad out there and it could get worse. With the stock markets in a tailspin, long-term investors can profit by buying into companies that can beat the slowdown in the coming months.
Avoid your own financial crisis
On the right track
Back in business
Fix it right

--------------------------------------------
Numbers of note
October 13, 2008

175-plus: The number of channels offered by telecom operator Bharti Airtel’s just launched direct to-home (DTH) satellite television service

1,000: The number of jobs eBay, the world’s largest online marketplace, will slash globally. The figure is equivalent to 10 per cent of its global workforce

Rs 6,800 crore The cumulative operational losses that Indian airlines are expected to suffer in 2008. The global aviation industry is expected to lose $4.1 billion (Rs 19,680 crore)

$8.8 billion (Rs 42,240 crore) The amount of money FIIs have pulled out of the Indian stock markets till the end of September 2008

$42 billion (Rs 2,01,600 crore) The value of investments in US subprime mortgages that investment bank UBS had to write off, the highest by any bank in Europe.

Source: http://businesstoday.digitaltoday.in

Corporate News Round-up

Indian Bank Q2 net up at Rs.282.93 cr
Allbank Q2 net dips, y-o-y business up 16%
2,500 employees of RIL to go on strike on Oct 24
Kingfisher slashes salaries of trainee pilots
Forex reserves fall $10 b on FII outflows

Sensex @ 10K: up in 483 days, down in 193
Satyam beats guidance; net profit rises 42%
RIIL net dips 3% to Rs 5.32 crore
Ultra Tech Q2 net down 12% at Rs 164 cr
Federal Bank Q2 net up 20% at Rs 114 cr

RNRL wants Reliance Industries to pay price differential
US economy will bounce back: Bush
Markets: It's a perfect ten for value pickers
Gold plunges further by Rs 210
Analysts fear more losses

Chandrayaan countdown to start on Monday
Chambal Fertilisers Q2 net slips 20% to Rs 47.5cr
HDFC net profit up 32% excluding one-time gains
Small investors take heart, top 10 in rich list lost $139 bn
RBI employees say to strike on Oct 21

Now, IITians get regret letters from top IT firms
Where will the Sensex head to now?
Blue chips fall by the wayside
Emerging mkts see 40-70% drop in PE valuations
Analysts fear more losses after Indian stocks crash

More losses expected
Sonata Software
Hindustan Construction
Investment Ideas - Value Picks
Stocks Below Book Value
Weekly Wrap - Oct 20 2008

Top Equity Mutual Fund Picks
Eveninger - Oct 17 2008
Sasken Communications
Weekly Futures Options - Oct 17 2008
Sensex plunges more than 500 pts for the week

Weekly Newsletter - Oct 18 2008
Turbulence in Indian skies
Wanting too much too fast
Govt panics, steps up effort for liquidity
Global markets recover, but worst may not be over
RBI policy review, global markets to dictate trend...

Source: ET,BS, BL, deadpresident etc

Main contributors of Sensex fall frm 21k to 10K are RIL,ICICI

Sensex ends below 10K; RIL, SBI, Bharti, Infy crash
http://news.moneycontrol.com/india/news/local-markets/sensex-ends-below-10000-ril-sbi-bharti-infy-crash/20/55/361801


The bears latched on to the markets in the second half of the session. They have forced the Sensex to hit 10,000 mark on the back of negative cues from global markets. Realty, power, metal, telecom, capital goods, oil, banking and technology stocks took huge beating on the bourses.

The biggest contributors to this fall were Reliance Industries, Bharti Airtel, Infosys, SBI, ICICI Bank, HDFC Bank, BHEL, NTPC, Reliance Communications, L&T, Reliance Infrastructure, TCS, and ONGC.

The Sensex has closed below the 10,000 mark for the first time since July 2006 and touched an intraday low of 9,911.32, a loss of over 53% from its historic high. It took 384 sessions to go up from 10,000 to 21,207 but took only 192 sessions on its downward journey. Reliance Industries and ICICI Bank were the biggest losers in this journey. They contributed 30% to this fall. The others included L&T, Reliance Communications, Tata Steel, and HDFC.

The bellwether index finally settled at 9,975.35, down 606.14 points, or 5.73%, over its previous close. The Nifty also cracked 3,050 and hit a low of 3,046.60 in today's session. It dropped over 52% from the highest point of 6357.10 on January 8, 2008. It tumbled 194.95 points, or 5.96%, to settle at 3074.35.

Market breadth was extremely weak; about 885 shares have advanced while 2103 shares have declined. Nearly 200 shares remained unchanged.

Among the frontliners, Reliance Infrastructure, Jaiprakash Associates, DLF, NTPC, Reliance Communication, BHEL, Sterlite Industries, SBI, TCS, Tata Steel, Hindalco, Unitech, Siemens and Reliance Petroleum crashed 8-12.5%. All stocks on the BSE Sensex Thirty are in red while only BPCL and HCL Tech ended in the green on the NSE Nifty Fifty.
Total turnover was very low as compared to previous day. It stood at Rs 58,370.46 crore as against Rs 72,822.47 crore on Thursday. This includes Rs 10,477.78 crore from NSE Cash segment, Rs 43,767.13 crore from NSE F&O segment and balance Rs 4,125.55 crore from BSE Cash segment.
Vineet Bhatnagar of MF Global feels that the high volatility numbers indicate that markets have not stabilised. The volatility percentile band has gone above 90% three weeks ago, he added. Bhatnagar sees Nifty support at 3050-3100 levels. The volumes may peak there, he added.
Markets took negative cues from US markets; huge volatility is expected in the US markets today as 80 million options will get expired. Dow Jones and Nasdaq Futures were down close to 2.5%, at 4:07 pm.
European markets had opened over 4% in early trade. However, they were also trading off day's high. FTSE, DAX and CAC were up over 1%, at 4:07 pm.
Asian markets also plunged in late trade barring Nikkei and Shanghai. Hang Seng and Jakarta closed down 4.4% each. Straits Times fell 3.73%, Kospi -2.73% and Taiwan -2.28%. However, Shanghai gained 1.08% and Nikkei rose 2.78%.

In the Taiwan market, FIIs sold USD 344.5 million worth of shares in trade today (provisional). They net sold USD 670 million during this week.
Adrian Mowat, JPMorgan sees more pain in Indian markets until we see some stability in the global financial system. He sees further downside in terms of expectations and feels that Indian markets may underperform over a six to twelve-month period. "If we see further substantial falls in the oil price, then India will tend to be more leveraged than other markets because of the benefit that a lower oil price gives the twin deficits of the current account and at the fiscal level." Crude was hovering around USD 70-71 to a barrel on the NYMEX.
Nirmal Jain, founder and CEO feels, “The rough times will last longer and outlook for the remaining part of the year is very volatile.” He feels that the next 3-4 quarters will be very uncertain and bearish for stock markets.
On the weekly basis, the Sensex has lost 5.8% and the Nifty fell 7%. BSE Metal tumbled 12.2% led by Nalco, Hindalco and Tata Steel, which fell 29%, 22% and 15%, respectively. BSE Oil & Gas Index slipped 11.5%; Reliance Industries and ONGC lost 15.5%. BSE Capital Goods Index crashed 9.5%; L&T and BHEL fell 11%.

Sectoral Indices
Realty stocks have collapsed like a pack of card in today's session. Indiabulls Real, Unitech, Peninsula Land, Ansal Properties, Parsvnath, Puravankara Projects and DLF fell 10-14%. Index has underperformed other indices, went down 288.37 points or 10.25%, to close at 2,524.89.
Power Index tumbled 150.74 points or 8.09% to 1,712.27. Reliance Infrastructure lost 12%. NTPC, Suzlon Energy, Power Grid Corp, CESC, Tata Power and GMR Infra lost 6-10%.
Metal stocks have lost shine. Sterlite Industries, Welspun Gujarat, Tata Steel, Hindalco, NALCO and JSW Steel fell 6-9%. Sesa Goa, Hind Zinc, SAIL and JSL were down 4-5%. Index plunged 378.16 points or 6.12%, to settle at 5,801.71.
Telecom stocks Reliance Communication, Tata Communication, Bharti Airtel, Idea Cellular and MTNL lost 5-10%.
BSE Capital Goods Index plummeted 423.44 points or 5.52%, to close at 7,241.36. Jyoti Structure, Punj Lloyd, Siemens, BHEL, Praj Industries, Crompton Greaves and Elecon Engg lost 6-12%. ABB, Bharat Electronics, Areva T&D and L&T fell 3-5.5%.
Banking stocks also crashed heavily. Kotak Mahindra, SBI, IndusInd Bank, HDFC Bank, ICICI Bank, Union Bank and Canara Bank fell 5-9%. Bankex fell 320.07 points or 5.46% to 5,546.69.
Oil & Gas Index tumbled 348.21 points or 5.10% to 6,479.56. Essar Oil, Aban Offshore, Reliance Petroleum, Reliance Industries and RNRL fell 5-10%. GAIL, ONGC and Cairn India lost 1-4%. However, oil marketing companies like IOC and HPCL rose 3-4%. BPCL gained 0.53%.

Technology stocks TCS, Wipro, Tech Mahindra and Infosys slipped 5-8%. IT Index slipped 131.90 points or 4.94% to 2,537.27. Satyam and Mphasis fell over 2.4%; they have reported good numbers for Q2FY09.
Auto Index closed at 3,099.60, down 96.31 points or 3.01%. Escorts, Maruti Suzuki, Hero Honda, Tata Motors, Bharat Forge, MRF and M&M were down 2-6%.
Healthcare Index fell 88.30 points or 2.68% to 3,209.02. Orchid Chemical, Divis Labs, Fortis Health, Biocon, Lupin, Sun Pharma, Glenmark and Aurobindo Pharma lost 4-7%.
FMCG Index was down by 43.52 points or 2.29%, to close at 1,858.99. United Spirits, GlaxoSmith Consumer, Godrej Consumer, Britannia, HUL and ITC fell 2-6%.
BSE Midcap plunged 112.29 points or 3.07% to 3,544.84 and Small Cap Index tumbled 118.50 points or 2.76%, to end at 4,167.86.
Among the midcap stocks, S Kumars Nationwide, ESS DEE, Provogue, India Infoline, Sterlite Technologies, Orbit Corporation and Chambal Fert tumbled 15-20%.
In the small cap space, ABG Infralogistics, Ganesh Housing, Kemrock Indus, Unity Infraprojects, Khaitan Electrical and KLG Systel fell 15-20%.

Markets Today
Carnage on Dalal Street Continues
SENSEX closes below 10000 for the first time since July 2006
Sensex hits a new 2008 low of 9911.3; Nifty hits a new 2008 low of 3046.6
Capitulation in Index stocks, Mid cap and Small Cap stocks outperform
Sensex ends down 606 points to close at 9975; Nifty ends down 195 points to close at 3074
CNX Midcap Index down 2.9%, BSE Small-cap Index down 2.8%
BSE Realty Index down 12%, Unitech down 12.5%, Indiabulls Real Estate down 13.8%, DLF down 10.1%, Orbit Corp down 15%
BSE Metal Index down 6.9%; Sterlite down 8.1%, Tata Steel down 8%, Hindalco down 7.3%, Sesa Goa down 6.6%
BSE Bankex down 6.3%; SBI down 7.8%, Hdfc Bank down 6.1%, Icici Bank down 5.9%, Kotak Bank down.1%
BSE Cap Goods down 5.8%; Punj Lloyd down 9.6%, Siemens down 9.6%, Bhel down 9.2%
BSE Oil & Gas down 5.8%; RPL down 8.5%, Reliance down 6.1%, Essar Oil down 9.9%
Index Losers : Rel Infra down 11.9%, NTPC down 9.4%, Tcs down 8.3%, Suzlon down 7.6%
NSE Adv – Dec Ratio at 1:4
Total market turnover at Rs 58370.46 crore versus Rs 68100.82 crore
NSE F&O Turnover at Rs 43767.13 crore versus Rs 48279 crore

RIL, ICICI Bank contributed to 30% of the fall from record 21,207
Name Contribution (pts) Contribution (%)
Reliance Ind -1747.85 15.60
ICICI Bank -1537.83 13.72
L&T -1000.62 8.93
Reliance Comm -602.52 5.38
Tata Steel -461.28 4.12
HDFC -459.75 4.10
Reliance Infra -438.50 3.91
DLF -428.19 3.82
JP Assoc -400.76 3.58
HDFC Bank -350.91 3.13
SBI -337.75 3.01
Infosys -318.53 2.84
ONGC -318.04 2.84
Sterlite Ind -307.11 2.74
BHEL -296.47 2.65
Bharti Airtel -262.75 2.34
ITC -250.92 2.24
NTPC -221.77 1.98
Hindalco -214.43 1.91
Grasim -208.29 1.86
Tata Motors -194.10 1.73
TCS -182.15 1.63
Tata Power -169.64 1.51
Satyam -138.92 1.24
M&M -100.99 0.90
Wipro -94.83 0.85
ACC -74.76 0.67
Maruti Suzuki -55.90 0.50
Ranbaxy -54.39 0.49
HUL 23.19 -0.21
Total -11206.77 100
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Contribution from 21,207 to 10000
2 stocks contributed to 30% fall in the Sensex. Reliance Industries contributed to 15.5% and ICICI Bank 14% to the fall.
6 stocks contribute to 50% fall in the Sensex
Name Contribution(pts) Contribution (%)
Reliance Ind -1748 15.60%
ICICI Bank -1538 13.72%
L&T -1001 8.93%
Reliance Comm -603 5.38%
Tata Steel -461 4.12%
HDFC -460 4.10%
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More @ SENSEX ends below 10000; RIL, SBI, Bharti, Infy crash Moneycontrol.com

Source: Moneycontrol.com.

Biggest psychological setback for Sensex, Closed below 10K, Lowest Since June 06

Distress Street: Bears pull Sensex below 10,000

MUMBAI: It was one of the biggest psychological setbacks for Indian trading community Friday as the Bombay Stock Exchange’s Sensex closed below the 10,000 mark. The oldest benchmark has lost more that 50 per cent from its all-time highs in just nine months.

The downfall was anticipated, but not on a day when bulls dominated the US and European markets. So what led to the fall? According to marketmen, there was some profit booking in the morning but formation of new short positions in futures, anticipating disappointing data from the US housing market, led to fall in the cash segment as well. Traders also didn’t want to take risk ahead of the weekend.

The breach of 10,000 level on the Sensex is being seen as a huge sentimental blow which is likely to trigger further correction and prevent investors from taking long positions. While some say it will take around 6-9 months for the market to stabilize, others are of the opinion that it will take at least three years for the global markets to get out of the rut created by the US financial market.

“There is dearth of fresh buying as investors are waiting for the markets to stabilise. Market can fall 10-15 per cent to 2,750 on the Nifty and around 8,700 on the Sensex, before forming a bottom. Global scenario is not healthy and volumes are also low. There is no fresh buying even as many A group stocks are available at 60-65 per cent from last October’s valuations. Hedge funds are creating short positions, which is dragging the markets,” said Ketan Malkan, vice-president, India Infoline.

Bombay Stock Exchange’s Sensex closed at 9,975.35, down 606.14 points or 5.73 per cent. It touched an intra-day low of 9,911.32 and a high of 10,786.93. National Stock Exchange’s Nifty closed at 3,074.35, down 5.96 per cent or -195 pts. The broader index touched an intra-day low of 3,046.60 and an intra-day high of 3,335.95. BSE Midcap Index closed 3.07 per cent lower at 3,544.84 and BSE Smallcap Index ended 2.76 per cent down at 4,167.86.

“We have formed a soft bottom and are in the process of formation of a hard bottom, which is likely to be formed around 2800 levels,” said a technical analyst from a local brokerage. Experts are of the opinion that it is not the end of the market and advise investors to enter in a systematic manner. “Global sentiments are at the lowest and this is being reflected in the acute risk aversion of investors, who have shunned equities for the time being.

While it would be difficult to catch the bottom, investors should continue investing into equities in a systematic manner. While the current situation would take some time to mend, if history is any guide to investments, equities have outperformed all asset classes over the long-term and we remain confident that history will repeat itself,” said Hitesh Agarwal of Angel Stock Broking. Biggest losers in the Sensex pack were Reliance Infrastructure (11.96%), Jaiprakash Associates (10.70%), DLF (10.34%), NTPC (10.34%), and Sterlite Industries (8.82%). There were no gainers in the 30-share index. Market breadth turned extremely weak with 1,462 declines against 638 advances on BSE European markets which opened strong, too gave away major gains as US stock futures were pointing toward a weak opening.

FTSE 100 was up 2.13 per cent, DAX moved 1.80 per cent higher and CAC 10 advanced 1.30 per cent. US stock index futures extended losses as a report showing that housing starts slid in September heightened recession fears. Dow Jones Industrial Average futures dropped 136 points and Nasdaq futures fell 27 points.

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Where will the Sensex head to now?

MUMBAI: The bull is on the run! But not in the direction one would want. He’s kicked enough storm and leaving behind him dust which the market is anxiously waiting to settle, so as to ascertain the damage. There are foreign forces behind the madness, as politicians would say--the US sub-prime crisis that has ballooned into a credit crisis across world markets. And there doesn’t seem to any comfort from the measures being taken by the central governments. In one of many such stampedes, the Sensex of Bombay Stock Exchange Friday closed below the 10,000 mark at 9,975.35, a loss of 606.14 points or 5.73 per cent from the previous close. The low of the day was 9,911.32 and high of 10,786.93. The broader Nifty of National Stock Exchange settled at 3074.35, down 194.95 points or 5.96 per cent. The index touched an intraday low of 3046.60 while the high was 3,335.96.

Economictimes.com spoke to the people on the floor to know where it will all end. “I don't think we can forecast a bottom for the benchmark index or how soon we will hit rock bottom. What I am seeing is sustained FII selling and lack of support from domestic institutions such as mutual funds and insurance companies who are sitting on cash to meet redemption pressures.

There is panic fear among overseas investors, who themselves are faced with heavy redemption pressures in their home countries. These (sustained outflows) will have to end for the market to stabilise and SEBI's proactive measures on P-notes to come into effect,” said Geojit Financial Services’ Managing Director, CJ George, of the Sensex breaching the 10K mark.

Being more specific, Sandeep Waghle, chief technical analyst of Angel Stock Broking, said, “The Sensex went close to 10,000 and bounced back as fresh buying came in and some short positions were also covered. But the mood is bad and Sensex may go down to 9000 and Nifty may test 2900.” Manas Jaiswal, senior technical analyst at Emkay Shares and Stock Brokers, painted an even grim picture. “Market mood is extremely bearish and we expect Nifty to touch 3050 next week. It may fall to 2600 in next two months,” he said. Speaking on the forces that be, N K Garg, CEO of Sahara Mutual Fund, said, “There is an imbalance now. FIIs are having hassles in their country. This is a crucial time for markets. I wouldn't like exiting.” Continued...Next >>
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Stocks that braved the storm this week
Sensex closes below 10K; Realty,power plunge
Mkts under distress: Sensex below 10,000 mark
Sensex dips below 10,000 mark
Realty, power stocks under severe pressure

Distress Street: Bears pull Sensex below 10000Economic Times, India - 48 minutes agoMUMBAI: It was one of the biggest psychological setbacks for Indian trading community Friday as the Bombay Stock Exchange’s Sensex closed below the 10000 ...

Sensex closes below 10000 mark DailyIndia.com

SENSEX ends below 10000; RIL, SBI, Bharti, Infy crash Moneycontrol.com

Sensex plunges, below 10000 mark Times Now.tv

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Sensex plunges below 10000

BEARS RULE: Sensex in four-digits, sheds 606pts

SENSEX ENDS BELOW 10K

Sensex loses 606 pts, ends at 9975.35

Sensex melts below 10k level, hits over 2-year lows

Post Session Commentary - Oct 17 2008

RBI policy review, global markets to dictate trend

Sensex down 13% from recent high

Sensex plummets below 10K, lowest since July 2006

Sensex ends below 10k; Realty plunges 10.25%

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Source: All Leading web sources.