Delhi MCD Election Results 2017

Source: media reports

Sensex dips below 16,000; RIL takes a hit

Sensex dips below 16,000; RIL takes a hit
Comment E-mail Print Share
First Published: Fri, Oct 30 2009. 05 10 PM IST
Updated: Fri, Oct 30 2009. 05 10 PM IST
Mumbai: Indian shares fell 7.2% in October and logged their biggest monthly fall in a year, after they closed 1% lower on Friday as investors gave a thumbs down to results from some key corporates such as Reliance Industries and Bharti Airtel.
Energy giant Reliance Industries slumped 3.6% to Rs1,931.25, its lowest close in 10 weeks, after it posted its fourth straight decline in quarterly profits.
“We believe that the refining segment will remain under pressure in the near term, thus, impacting RIL’s (Reliance Industries) performance,” Prabhudas Lilladher said in a note.
“Overhang on the ongoing battle between RIL and Reliance Natural Resources continues to remain a concern. Hence, we maintain ‘reduce´ rating on the stock,” it said in a note.
Top mobile operator Bharti Airtel tumbled 6.4% to Rs292.15, as it gave a downbeat outlook due to a nasty price war after posting its slowest pace of profit growth in at least six years.
The 30-share BSE Index closed 0.97% or 156.44 points lower at 15,896.28, after rising to as much as 16,360.88 in early trade, cheered by a rise in global markets, as data showed United States returned to economic growth.
“The whole concept of buy at dips’ and sell at rise’ is being reversed,” said R. K. Gupta, managing director of Taurus Mutual Fund.
“Results from quite some companies have disappointed, triggering the fall. People have clarity on fiscal 2010 earnings, but beyond that it’s all guesswork,” added Gupta.
The benchmark shed 5.4% in the week declining is all sessions, and posted its highest weekly loss in more than three and a half months, as corporate results failed to cheer and the central bank set a hawkish tone at its quarterly policy meet.
Foreign funds have infused around $14.4 billion in Indian equities so far this year which have led to a rise of nearly 65% in the benchmark.
Prime Minister Manmohan Singh said India will push forward with reforms and needs to increase investment in rural education, health and infrastructure to raise the economic growth rate up to 10%.
Earlier this week, the central bank forecast growth for 2009-10 at 6% with an upward bias.
Sterlite Industries rose as much as 8.3% to Rs808, after it said its unit Sterlite Energy filed to raise up to Rs51 billion though an initial public offer.
The stock closed 3.4% higher at Rs771.55.
Utility Indiabulls Power Ltd, which raised about $380 million in a heavily subscribed IPO, slumped as much as 22% on debut and could hit investors appetite for a long and growing IPO pipeline.
The stock closed 12.8% lower at Rs39.25.
Private lender ICICI Bank climbed 2.4% to Rs789.60, as it posted a small but surprise rise in quarterly profit on trading gain and lower costs that offset a rise in bad debts.
State-run explorer Oil & Natural Gas Corp shed 2.8% to Rs1,132.70, after it reported a lower-than-expected 5.8% rise in quarterly net profit.
Power producer Tata Power plunged 4.4% to Rs1,343.20, after it said its September quarter net profit dropped by 28%.
In the broader market, losers outnumbered gainers in a ratio of 1.5:1 in a relatively higher volume of 494 million shares.
The 50-share NSE index closed 0.8% lower at 4,711.70.
Indian markets are shut on Monday for a public holiday.
Comment E-mail Print Share
First Published: Fri, Oct 30 2009. 05 10 PM IST
More Topics: Markets | Stocks | Sensex | Nifty | Bharti Airtel |