The markets are trading deep in the red with the Sensex shedding over 500 points. It is at 10,941 levels. The Nifty has lost 3.7 per cent to trade at 3389 levels. “ Since the Nifty was in oversold zone, it bounced back from Friday’s lows. If 3370 does not hold then Nifty can go down further,” said Bharat Dalal, Fund Manager, Dawnay Day AV Financial Services. Heavy selling has emerged in capital goods, consumer durables and metal counters. The capital goods index on the BSE is down over 8 per cent and the consumer durable index has lost 6.3 per cent. " Weak global cues are impacting the markets. Investors can go long at 10000-11000 levels," said T S Harihar, Senior VP, ICICI Securities. He also added that Nifty might be range bound between 3300 and 3800 levels. Among the Sensex scrips, L&T is the biggest loser, down over 10 per cent. Other major losers are JP Associates, Sterlite and Reliance Infra. Wall Street ended a relatively calm session with a moderate loss on Tuesday as investors, while happy with the government's plans to spend up to $250 billion to buy stock in private banks, decided to cash in profits from the previous day's massive advance as they refocused their attention on the economy. It was the first time in nine sessions that the Dow Jones industrial average didn't close with triple-digit losses or gains although it did swing in a 700-point range. The Dow closed down 76 points a day after its record 936-point jump. Key Asian indices are also trading mixed today. While Japan’s Nikkei has surged over 1 per cent to 9547 levels, Hong Kong’s Hang Seng and South Korea’s Kospi have lost more than 2 per cent each.
(With AP inputs)