Markets at day's low

Metal, banks drag Sensex

Markets have extended losses in afternoon trades, days ahead of the futures & options expiry on Thursday. The Sensex has touched a low of 17,611 - down 68 points. Nifty is down 28 points at 5,322.

"Key levels to watch out for Nifty are 5200 to 5250 based on current charts perspective. market is correcting for the rally from 5034 to 5450 and there could be consolidation for sometime before it gets ready for next uptrend," said Rakesh Gandhi, Sr Technical Analyst - Advisory, LKP Securities

On the global front, riskier assets from stocks and commodities to the Australian dollar fell on Tuesday on investor caution ahead of a gathering of central bankers and economists in Wyoming later in the week which could shed some light on further stimulus plans. Asian markets are trading on a mixed note.

Back home, India's economy is expected to have grown 5.3 percent in the April-June quarter, unchanged from January-March, according to a Reuters poll of 38 economists.

Meanwhile, the rupee recovered some of the initial losses today but was still down 8 paise at 55.77 against the dollar on demand for the American currency from banks and importers.

BSE metal index has slipped 2.5% to 10,011. Consumer durables, capital goods and bankex have shed over 1% each. However, IT index has managed to hold on to gains and is up 1% at 5,811.

Jindal Steel has slipped 6% to Rs 355, followed by other metal names such as Sterlite, Tata Steel and Hindalco. ICICI Bank is the biggest dragger and accounts for a 17 point loss on the Sensex.

On the other hand, Tata Power has added 2.6% at Rs 99. TCS and Infosys have advanced 1.5% each. Among other gainers are NTPC, Wipor and ITC.

BE market breadth is negative. Out of 2,621 shares traded, 1,727 shares have declined while 762 shares have advanced in trades.