Sensex closes 388 pts lower on domestic cues, UID project trashed

3.30 p.m: Markets closed near the low of the day as opposition parties demanded resignation of the home minister for hisallegedrole in the 2G scam. Sensex closed the day 388 points lower at 16,488 while Nifty closed the day at 4932, down by 119 points at 4944.

Almost all the sectors were in the red, led by capital goods segment which fell by 4.4 percent. L&T was down 5.25 percent at Rs 1,262 and Bhel was down 6 percent at Rs 272.

Real Estate counters were the other main losers falling by 3.8 percent followed by metals and banking stocks.

Dhanlaxmi Bank was among the top performing stocks rising as high as 15 percent during the day, but closed lower at Rs 60.15, up nearly 10 percent. Reports say that the company is likely to raise funds to improve its capital adequacy ratio as well as there is a settlement of its labour issues.

By the end of the day there were reports that Standing Committee of Finance has rejected the UIDAI Bill. TCS which has the order for rolling out the project, fell marginally by the end of the day. The stock closed the day at Rs 1175, down 0.3 percent.

Coal India traded 2.95 percent lower at Rs 314.10 after the company reduced its production target.

Cairn Indiahas announced that they have completed the Vedanta deal. However, the stock in line with the market has closed 3.56 percent lower at Rs 310.45.

Sensex down 450 pts, Dhanlaxmi Bank up 15%

2.30 p.m: Markets continue to trade near the day’s low with Sensex down 425 points at 16,444 while Nifty is down 130 points at 4933.

Dhanlaxmi Bank is trading 15 percent higher at Rs 63 on rumors of a stock placement in the bank. Amitabh Chaturvedi, managing director and chief executive of the bank had said in an interview recently that the bank is likely to raise between Rs 300-400 crore in the last quarter of the current fiscal to raise its capital adequacy from 10.7 percent ot 12 percent.

Reliance is down to Rs 773.6 a fall of 4.5 percent, SBI is down 4 percent at Rs 1,869 while L&T is also down 5 percent at Rs 1262.

Dhanlaxmi Bank up 9%, Sensex falls 300 pts

1.15 p.m: Despite European markets opening marginally higher, Indian markets continue to trade near the low. Sensex trades 375 points lower at 16,500 and Nifty is down 115 points at 4947.

Capital goods sectors are one of the worst losers in the market with L&T down nearly 5 percent at Rs 1,268 while BHEL is at Rs 277.95, down 3.9 percent. Captial Goods as a sector has fallen by 3.7 percent, followed by realty counters which are down 3.4 percent.

Banking counters are down 2.3 percent by led by SBI which is down 3.62 percent at Rs 1875, Axis Bank down 3.2 percent at Rs 1006 and ICICI Bank down 2.5 percent at Rs 749.

Cairn India has announced that they have completed the Vedanta deal. However, the stock in line with the market has fallen by 2.6 percent at Rs 314.

Dhanlaxmi Bank is up 9 percent at Rs 59.45 on rumors of a private placement in the bank.

Lower inflation fails to enthuse markets, Sensex down 300 pts

12.15 p.m: Market continues to trade low with the Sensex down 300 points at 16,576 and Nifty down by 95 points at 4968.

ADAG group stocks continue to be the largest losers led by Reliance Communications which is down by 5.5 percent at Rs 75.85. Reliance Capital is down by 5 percent at Rs 293.70 and Reliance Infra is down by 4.3 percent at Rs 400.80.

A sharp drop in inflation at 6.92 percent has led to some recovery in banking counters on an expectation of the central bank reducing interest rates.

Reliance is also trading 3 percent lower at Rs 785 while capital goods stocks L&T is down 4.34 percent at Rs 1274 and BHEL is down 3.2 percent at Rs 280.

News on developments in the railway sector has propped up stocks catering to the sector. Kernex is trading 7 percent higher at Rs 71.10, Kalindee is trading 6 percent higher at Rs 110.60 and Texmaco is up 4 percent at Rs 74.

Sensex plunges 370 pts; RCom down 7.5%

11.15 am: The Nifty has slipped below the psychological mark of 5,000 and is 112 points down at 4,950. Sensex is down 370 points at 16,510.

All ADAG stocks are down with Reliance Comm the biggest loser at down 7.5 per cent. Reliance Capital, Reliance Media, Reliance Infra and Reliance Power traded 2-4 per cent lower. The Parliament is adjourned till noon as the opposition have asked for resignation of P Chidambaram. The CBI has said the the the 2G case plea can mention Chidambaram and Raja were working together on the spectrum sale.

Real estate, metals, capital goods and infrastructure are major names dragging the markets down with GMR Infra down 6.15 percent. Some other major losers are HDIL, IFCI and Lanco Infra.

10:15 am: The Sensex has slipped further into the red, down 164 points to 16,711, while the Nifty has shed 52 points to 5,009.

The top gainers on the Sensex are Hero Motocorp, up 1.25 percent at Rs 2,084.85, and Wipro, up 0.79 percent, at Rs 406.95.

The top losers are Sterlite, down 3.6 percent at Rs 105.65, while Coal India slipped 2.2 percent to Rs 317.40.

With the key European Union summit right around the corner, Dariusz Kowalczyk, senior economist and strategist at Credit Agricole, told CNBC Tv18 that global investors are currently in a risk-off mode because of the fear of more disappointing news from the area.

**9:15 am:**Indian markets opened lower in line with expectations.Currently, the Sensex is trading at 16,810, 67 points lower, while the Nifty is at 5,038, 29 points lower.

All sector indices are marginally down, barring the healthcare and consumer durables indices.

Pantaloon is down 2.17 percent at Rs 193.85, as the government announced that it was putting 51 percent foreign direct investment in multi-brand retail on hold until a consensus between stakeholders was achieved.

UTV Software Communications rose 2.74 percent at Rs. 977 in opening trade on BSE after the government approved the proposal of the US-based Walt Disney Co to fully acquire the media firm. As per Sebi data, the stock hit a high of Rs 983.95 and a low of Rs.965.25 so far during the day. The stock had hit a 52-week high of Rs 1050 on 26 July 2011 and a 52-week low of Rs 386 on 10 February 2011.

While Wipro, Hero MotoCorp,Bajaj Auto, SAIL and PNB were among the leaders in the Sensex and the Nifty, Infosys, RCOM, Coal India,Bharti Airtel, ONGC, TCS, ACC, Tata Motors, Sterlite Inds, Tata Steel, NTPC, Cipla, SBI, Sun Pharma, HUL, BHEL, were among the losers.

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Overnight, Wall Street finished marginally up, after some swings that closely reflected sentiment over Europe. For the past few days, rumours about what’s likely to happen in Europe have been the biggest drivers of the market, and while, in recent days, that news flow reflected optimism, the tide turned overnight.

Reflecting Wall Street sentiment, Asian markets are down at the start of trade. As at 7.30 am IST, indices across Asia-Pacific are in the red.

Hong Kong’s Hang Seng is down the hardest, at around 1.2 percent, but no market is immune: some bad unemployment data out of Australia and weak economic data from Japan are contributing to the slide.