Sensex slides for fifth day on risk aversion; Reliance at 33-month low

3.30 p.m: Last hour of the market saw huge selling pressure, led by Reliance which has touched a 33 month low.

Sensex fell for a fifth session in a row on Tuesday, dropping 1.3 percent to its lowest close in 28 months, and closed the day at 15175, down 204 points while Nifty closed 69 points lower at 4544. Investor confidence was further dented when European shares initially extended a two-week slide after a eurozone plan to boost crisis funds parked with the IMF failed to reach a hoped-for target.

Reliance touched a low of Rs 709.20 but closed marginally higher at Rs 713.45 after news hit the market that the company has stalled its coal bed methan project on pricing issue.

Among the other stocks which saw action were public sector banks, which were trading lower on account of write-offs of their the power sector loans. UCO Bank closed the day 11 percent lower at Rs 52.20, Union Bank closed at Rs 176, down nearly 5.4 percent, Syndicate Bank closed 8.5 percent lower at Rs 85.15.

Capital goods stocks continued to fall with L&T falling the most by 5.8 percent at Rs 973 on slowdown in new orders as companies put off investment in large projects.

JP Associate was the biggest loser among frontline stocks falling by 8.15 percent at Rs 53 followed by Hero Motocorp which closed nearly 6 percent lower at Rs 1,800.

Metal counters continued to fall, led by Tata Steel which was down by 5.72 percent at Rs 342.80, Hindalco was down 4.6 percent while Jindal Steel fell by nearly 4 percent.

Among the gainers were HDFC Bank which closed the day 2.23 percent higher at Rs 415, while Bata closed the day at Rs 538, up 6.9 percent.

Reliance at 30-month low, Sensex down 200 pts

3.00 p.m: Markets fell sharply after recovering its entire intra-day loss.

Reliance has led the fall after it announced that it is stalling its coal bed methane project on account of clarity of pricing for the gas. The stock has touched a 30 month low of Rs 709.20 and is currently down 3 percent.

Sensex currently trades 210 points lower at 15,169 while Nifty is down 70 points at 4547.

Reliance, ONGC help market recover, Sensex down 18 pts

2.10 p.m: Markets have just come off the day’s low after European markets posted a small recovery. Sensex currently trades 95 points lower at 15,284 while Nifty is down 38 points at 4576.

PSU banks continue to fall with UCO Bank falling by 9.5 percent at Rs 50.80 while Union Bank trades 6.4 percent lower at Rs 164.70. Among the private sector banks, Kotak Bank is the biggest loser falling 4.86 percent at Rs 445.

Tata Steel is down by 4.2 percent at Rs 347.95 while Hindalco is down 3 percent at Rs 121.

Hero Motocorp is down 4.8 percent at Rs 1821, while Ashok Leyland is down 7.8 percent at Rs 21.15.

Reliance near critical support level, Sensex down 150 pts

1.00 p.m: Markets have touched the day’s low and are close to previous day’s low as European futures point to a lower opening.

Sensex trades 150 points lower at 15,229 while Nifty is down by 50 points at 4562.

JP Associate is the biggest loser among frontline stocks, falling by nearly 5.37 percent at Rs 54.55 followed by Hero MotoCorp which is down by 4.4 percent at Rs 1830.

Reliance approaches its support of Rs 720. The stock has bounced back from this range around five times in the last four months. Reliance currently trades at Rs 721.60, down by nearly 2 percent.

Metal and banking counters continue to be the major losers followed by metals and auto stocks.

Jet Airways falls 6% on carbon tax, Sensex down 150 pts

12.00 p.m: Sensex continues to trades in a narrow range at 15,310 down 70 points while Nifty is at 4590 down 22 points.

Jet Airways is one of the top losers falling nearly 6 percent as the European Union has demanded Rs 300 crore from the company as carbon emission tax.

Banking stocks continue to fall with some state electricity boards (SEBs) going in for restructuring of their loans with banks, UCO Bank is down 6.60 percent while Union Bank is down 7.25 percent. Among the private sector banks Kotak Bank has fallen by 4.5 percent to Rs 446.90

Metal stocks too are trading lower with Jindal Steel falling by nearly 3.2 percent JSW Steel is down 3.2 percent while Tata Steel is down 2.95 percent.

Orchid Chemicals rises 6% in a flat market

11.00 a.m: Markets trade in a very narrow range with Sensex trading at 15,347 down 32 points over previous day’s close, while Nifty trades at 4594, down 18 percent.

L&T trades down 3 percent very close to the psychological Rs 1002 mark. The stock did touch Rs 995 as the company said it was increasing its focus on international market as there is not much order flow from India.

Orchid Chemical continues to be the top gainer, rising 6 percent at Rs 131.95 after banks approve its FCCB buy back proposal.

Banks continue to trade lower with SBI falling by nearly 2 per cent at Rs 1597, Axis Bank down 3.5 percent at Rs 819, Bank of Baroda is down 4 per cent at Rs 653.30, Bank of India is down 3.4 percent at Rs 284.60 while UCO Bank is down 6 percent at Rs 52.65.

HDFC Bank has buckled the trend on value buying, the stock currently trades at Rs 416, up 2.5 percent.

PSU banks under pressure post CLSA downgrade, Sensex down 65 pts

9.45 a.m: Markets have come off the day’s high withe the Sensex currently trading at 15343, down 35 points while the Nifty is at 4601, down 11 points.

Banks are among the major losers with Axis Bank falling 3.22 percent at Rs 821, SBI down 0.7 percent at Rs 1618, Bank of Baroda is down by 3 percent at Rs 661, UCO Bank is down 5 percent at Rs 53.15 while Bank of India is down 1.5 percent at Rs 290.50.

Among the frontline counters Reliance is down nearly 1 percent at Rs 727.75, L&T is down 2 percent at Rs 1011, JP Associates is down 4.25 percent at Rs 55.20 while Tata Motors is down 1.8 percent at Rs 176.6.

Orchid Chemicals is the top gainer, rising nearly 5 percent after banks approved funding for buying out its FCCBs. The stock currently trades at Rs 131.15.

Sensex rebounds in early trade; banks and infra stocks eyed

9.15 a.m: After a sharp fall yesterday, which actually began last week, the BSE Sensex today opened higher and is trading at 15,404, up 24 points over the previous close. However, these are marginal gains and is in a consolidation mood after a fall of over 800 points onthe Sensex since last week. It had earlier touched a day’s high of 15,447 and a day’s low of 15,395. It opened at 15,436.

NSE Nifty was quoting 4625 , up 12 points over the previous close.It has earlier touched a day’s high of 4,673 and a day’s low of 5,616. Itopened at 5,635.

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Wipro lost 0.21 percent to Rs 402 at 9:17 on BSE after the company’s American depository receipt, or ADR fell 3.7 percent to settle at $9.72 on the New York Stock Exchange on Monday, 19 December 2011.

The cabinet agreed on Sunday to tackle widespread malnutrition with food subsidies for two-thirds of the country’s 1.2 billion population, a move that may shore up support for the government but carries risks for the faltering economy.

Shares in cash-strapped SKS Microfinance will be watched after a deputy governor of the Reserve Bank of India said microfinance institutions would be allowed to borrow up to $10 million from overseas markets.

Loss-making Kingfisher Airlines, which has been grounding planes and cutting routes to stay aloft, will also be in focus after banking sources said they were awaiting a report on the airline’s viability before they approve a $133 million loan.

Foreign institutional investors have been net sellers of around $300 million so far in 2011, compared with a record investment of more $29 billion in 2010.

Asian stocks and the euro steadied on Tuesday, but sentiment remained fragile on concerns that efforts to contain the euro zone debt crisis were faltering and tougher rules to strengthen banks’ capital would further undermine their profits.

By 0245 GMT, the MSCI’s broadest index of Asia Pacific shares outside Japan was trading up 0.4 percent, while the Nifty India stock futures in Singapore were up 0.20 percent, pointing to a higher opening for the domestic market.

STOCKS TO WATCH

* Fortis Healthcare (India) , after its chairman said that the hospital chain was on course to raise funds and close a takeover of Singapore-based associate Fortis Healthcare International by the end of December.

* Unity Infraprojects Ltd , after the engineering procurement and construction firm said it received two orders worth Rs 139 crore.

* KNR Constructions Ltd , after the Hyderabad-based firm said it had won a highway road project worth Rs 6.2 billion .