Sensex plunges by over 458 points, but IT stocks gain

Sensex plunges by over 458 points, but IT stocks gain
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First Published: Wed, Feb 20 2008. 05 11 PM IST
Updated: Wed, Feb 20 2008. 05 11 PM IST
Agencies
Mumbai: The Bombay Stock Exchange benchmark Sensex on 20 February plunged by over 450 points on aggressive selling by funds following weakening global trends.
The Sensex, after a lower start, fell further to post a loss of 458.06 points at 17,617.60. It touched the day’s low of 17,505.56 and a high of 17,991.29 points.
While most stocks tumbled, IT sector, led by Infosys Technologies, bucked the trend by gaining fresh ground on reports that the government may consider fresh tax sops to the exports business. Brokers said over 50% of the revenues of Indian software companies comes from the US.
Brokers said a weakening rupee also sent signals of a better revenue for companies in IT business.
The National Stock Exchange index Nifty also dropped by 126.35 points at 5,154.45, after touching a low of 5,116.30 and a high of 5,267.15 points.
The selling activity was spread over a wide front sectors, including banking segment, on concerns that margin might fall following a big gap in lending and deposit rates, traders said.
The major pull to the market came in from banking stocks and its index lost 353.95 points at 10,609.81, followed by capital goods index by 459.40 to 15,932.87.
Metal index fell by 376.42 at 15,833.53, realty index by 361.50 points at 9,709.24, oil and gas index by 246.88 points at 10,884 and PSU index by 236.09 points at 8299.70. PTI
Afternoon update
New Delhi: Global crude prices, which receded after breaking the psychological $100 a barrel mark, had a major impact on global stocks, including the markets in India.
At around 12:30pm, the BSE Sensex was trading as much as 448 points down at 17,627 levels. The broader Nifty shed 133 points to quote at 5,147. Livemint.com
Morning
Mumbai: The Bombay Stock Exchange benchmark Sensex fell 194 points on 20 February to 17,881.75 in the initial trade on sales of shares in bluechips such as Reliance Industries.
Bucking the general trend, information technology stocks remained in keen demand following proposal of fresh tax sops on export services.
The 30-share index, which gained 27.61 points in previous day’s trading, fell 193.91 points to 17,881.75 in the first five minutes of trade.
The wide-based C&X Nifty of the National Stock Exchange dropped by 66.75 points to 5,214.05.
Selling pressure gathered momentum on reports of weakening trends in global markets. PTI
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First Published: Wed, Feb 20 2008. 05 11 PM IST