Sensex down over 500 points; rate-sensitives hit hard on RBI move
Published: 20th September 2013 04:18 PM
Last Updated: 20th September 2013 04:18 PM
Indian markets plunged further in the post noon trade on
Fridayafter the RBI unexpectedly raised repo rate by 25 bps to
7.5%. The RBI gave clear signal that inflation is top priority,
which climbed above 6% last month.
The Reserve Bank of India (RBI) Governor Raghuram Rajan
clarified that the RBI is neutral about future course of action on
interest rate. The policy action will go either way depending on
the economic condition, he said. Rajan further asked not to
extrapolate hike in interest rate as possible future rate hike. The
hike in repo will not impact growth much, he opined.
At 13.45 pm, the Sensex was trading down 518.73 points or 2.51%
at 20,127.91 with 26 components falling. Meanwhile, the Nifty was
trading lower by 129.50 points or 2.12% at 5,986.05 with 43
I C I C I Bank contributed fall of
86.59 points in the Sensex. It was followed by H D F C Bank (61.42
points), Larsen & Toubro (54.55 points), Housing Development
Finance Corporation (49.09 points) and I T C (37.71 points).
However, Sun Pharmaceutical Industries contributed rise of 5.11
points in the Sensex. It was followed by Wipro (4.27 points),
Sterlite Industries (India) (0 points), Reliance Communications
(0.59 points) and ACC (1.49 points).
Major gainers in the 30-share index were Wipro (1.52%), Sun
Pharmaceutical Industries (1.08%), G A I L (India) (0.71%), and Dr
Reddy"S Laboratories (0.44%).
On the other hand, Larsen & Toubro (5.40%), I C I C I Bank
(5.39%), State Bank Of India (4.81%), Hindustan Unilever (4.54%),
Hindalco Industries (4.05%), and Oil & Natural Gas Corporation
(3.99%) were the biggest losers in the Sensex.
Mid & Small-cap Space
The BSE Mid and small caps outperformed their larger
counterparts declining-1.48% and -1.00% respectively.The major
losers in the BSE Midcap were Allahabad Bank(6.62%), Aban Offshore
(3.82%), Amara Raja Batteries (1.96%), Alstom India (1.72%) and A B
G Shipyard (0.64%).The major losers in the BSE Smallcap were Action
Construction Equipment (1.85%), A2Z Maintenance & Engineering
Services (1.4%), Trident (1.34%), Adhunik Metaliks (0.7%) and Aarti
Sectors in Limelight
The Realty index was at 1,289.03, down by 88.02 points or by
6.39%. The major losers were D L F (11.49%), Indiabulls Real Estate
(7.94%), Housing Development and Infrastructure (7.21%), Anant Raj
(6.18%) and Oberoi Realty (3.64%).
The Bankex index was at 12,103.90, down by 593.93 points or by
4.68%. The major losers were Bank Of India(6.62%), Canara Bank
(5.8%), Bank Of Baroda (5.57%), H D F C Bank (3.87%) and Federal
The Capital Goods index was at 8,012.60, down by 311.65 points
or by 3.74%. The major losers were BEML (4.52%), Bharat Electronics
(4.39%), Bharat Heavy Electricals (2.36%), A B B India (2.15%) and
Alstom India (1.72%).
On the other hand, the IT index was at 7,829.14, up by 10.01
points or by 0.13%. The major gainers were H C L Technologies
(3.5%), Tech Mahindra (2.74%), Wipro (1.52%), Hexaware Technologies
(0.36%) and Oracle Financial Services Software (0.1%).
Market breadth was negative with 736 advances against 1,457
Value and Volume Toppers
Yes Bank topped the value chart on the BSE with a turnover of
Rs. 1,684.32 million. It was followed by State Bank Of India (Rs.
1,311.22 million), Axis Bank (Rs. 619.61 million) and Reliance
Communications (Rs. 451.41 million).
The volume chart was led by Cals Refineries with trades of over
5.24 million shares. It was followed by Yes Bank (4.79 million),
TV18 Broadcast (4.63 million) and Reliance Power (3.94