Markets move south

02 Feb 2009 | 18:30
Markets move south

Markets ended the first session of the week sharply lower on account of weak global cues as well as disappointing earnings. Heavyweights like NTPC, Reliance Industries, SBI, ICICI Bank, Bharti Airtel, HDFC, ONGC, SAIL, Reliance Communication and L&T witnessed a big sell-off.

While the Sensex closed 357.54pts or 3.79% lower at 9,066.7, the Nifty lost 108.2pts or 3.76% to close at 2766.65. The broad market indices too ended lower as the BSE Midcap and Small Cap indices were down by 1.55% and 1.53% respectively. Market breadth was negative as A/D ratio was 0.55:1 on the BSE. NSE cash turnover was lower at Rs.8,446crs. Vs. Rs.9,836crs. on Friday.

All the sectoral indices ended lower. The top losers were the BSE Realty, Metals, Bankex and Consumer Durables indices. The top losers from the BSE-30 were JP Associates, DLF, Rel infra, HDFC, ICICI Bank and RCom. There were no gainers from the BSE-30.

With the Nifty closing below last Friday's lows of 2775, the bears seem to have the upper hand as last week's uptrend has been reversed. We recommend avoiding fresh long positions till there is evidence of sustainable strength.