After gyrating between the positive and negative territory in early afternoon trade, fresh selling for index pivotals led by banking shares pulled key benchmark indices lower. Volatility was high throughout the day.
After an initial fall caused by anxiety about potential US measures to prop up Citigroup, the market bounced back in morning trade after the US Treasury Department announced that it was investing $27 billion in Citigroup in exchange for preferred shares as one of a series of actions to help the beleaguered bank. The barometer index swung 329.51 between the day's high and low so far in the day.
At 13:25 IST, the BSE 30-share Sensex was down 141.78 points, or 1.59%, to 8,773.43. The Sensex rose 126.81 points at the day's high of 9,042.02 in mid-morning trade. At the day's low of 8,712.51, the Sensex lost 202.70 points in early trade.
The S&P CNX Nifty was down 38.65 points, or 1.43%, to 2,654.80
The market breadth, indicating the overall health of the market, was negative. On BSE, 1310 shares declined as compared with 921 that advanced. 79 shares remained unchanged.
The total turnover on the BSE amounted to Rs 1846 crore by 13:30 IST as compared to Rs 1433 crore by 12:30 IST
Among the 30-member Sensex pack, 22 declined while the rest gained. DLF (down 5.60% to Rs 187.10), Satyam Computer Services (down 3.97% to Rs 231.30), and Tata Steel (down 3.28% to Rs 154.80), edged lower from the Sensex pack.
Infosys (up 0.61% to Rs 1192), ACC (up 0.95% to Rs 403.25), and Bharti Airtel (up 0.15% to Rs 619.90), edged higher from the Sensex pack.
Banking shares tripped as the $306 billion rescue plan for the number two US bank Citigroup was seen unlikely to ease all concerns about the broader financial sector and as concerns over the global economy remained.
India's largest private sector bank by net profit ICICI Bank lost 5.48% to Rs 317.15 despite a 15.53% surge in its American depository reciept (ADR) on Friday, 21 November 2008.
State Bank of India (down 4.94% to Rs 1124.70), and HDFC Bank (down 3.10% to Rs 830.25), also succumbed to selling pressure. The Bankex lost 3.78% to 4,425.06 and was the top loser from the BSE sectoral indices.
India's largest copper maker by sales Sterlite Industries extended early losses and was now down 6.97% to Rs 203.50 on reports it expects a 4 lakh tonne a year capacity copper smelter in south India to be shut for about a month following a breakdown. It was the top loser from the Sensex pack.
India's largest private sector company by market capitalization and oil refiner Reliance Industries (RIL) lost 1.94% to Rs 1105.40 in choppy trade on concerns a global slowdown would hit demand for petrochemicals. The stock swung between a high and low of Rs 1146.80 and Rs 1095 respectively so far in the day. The stock lost 19.30% in a month to Rs 1127.35 on 21 November 2008 from Rs 1315.55 on 22 October 2008
India's top oil exploration firm by market capitalisation Oil & Natural Gas Corporation (ONGC) slipped 0.67% to Rs 685.40 on profit booking after surging 6.10% on Friday, 21 November 2008 as the company along with its partners bagged 20 out of the 44 blocks that have been awarded under the seventh round of the New Exploration Licensing Policy (NELP-VII).
India's largest software services exporter TCS jumped 3.25% to Rs 523.80 and was the top gainer from the Sensex pack. The company is reportedly ramping its e-governance business nationally. The e-governance business is projected to generate double-digit revenues for the software firm by the year 2010-11.
India's second largest private sector power generation firm by sales Reliance Infrastructure rose 2.35% to Rs 496 on reports the company is scouting for coal assets in Indonesia after the share prices of major mines there witnessed steep erosion following the global financial turmoil.
Dabur India was down 0.13% to Rs 74.40 after the company acquired 72.15% stake in skin care products firm Fem Care Pharma for Rs 203.7 crore in an all cash deal. The latter rose 2.59% to Rs 676.25. The company made this announcement after trading hours on Friday, 21 November 2008.
EID Parry India surged 3.23% to Rs 144 on acquisition of a 48% stake in a US nutraceuticals company Valensa International. The company made this announcement after trading hours on Friday, 21 November 2008.
Super Tannery India advanced 4.35% to Rs 9.60 after setting 8 December 2008 as record date for a liberal 1:1 bonus issue. The company fixed the record date during trading hours today, 24 November 2008.
IVRCL Infrastructure & Projects rose 2.47% to Rs 135 on bagging orders worth Rs 529.79 crore. The company announced the order win during trading hours today, 24 November 2008.
US light crude for January 2009 delivery rose 67 cents to $50.60 today, 24 November 2008 as hopes the Organization of the Petroleum Exporting Countries (OPEC) might cut output again as early as this week helped buoy prices. The contract settled 51 cents higher at $49.93 a barrel on Friday, 21 November 2008 after dipping to a 3- year low of $48.25.
Asian markets were trading lower today, 24 November 2008. Key benchmark indices in China, Hong Kong, Singapore, South Korea, and Taiwan were down by between 0.25% and 3.35%. Japanese markets were closed today, 24 November 2008 for a public holiday.
US stocks rallied on Friday, 21 November 2008 as investors welcomed reports that President-elect Barack Obama unveiled his plan to combat the US economic crisis, instilling confidence about the administration's ability to take action. He also nominated a new treasury secretary Timothy Geithner, who has been closely involved in the rescue of Bear Stearns and AIG. The Dow Jones industrial average jumped 494.13 points, or 6.54%, to 8,046.42. The Standard & Poor's 500 Index shot up 47.59 points, or 6.32%, at 800.03. The Nasdaq Composite Index climbed 68.23 points, or 5.18%, to 1,384.35.