Markets remain under pressure

Tata Motors top loser among the Sensex stocks

Markets continue to reel under the intense selling pressure. The Sensex has slipped 264 points to 16,064 and the Nifty is down 78 points at 4,865 levels.

According to Kishor Ostwal, CMD,  CNI Research, "We should not give importance to global cues. The fall in market is due to the downward spiral in the INR. If rupee goes to 56 levels against the US dollar then we may also see 4,500 levels on the Nifty."

"After the Guar gum bust the speculators are speculating on the rupee which is making the situation tough for the Reserve Bank of India to arrest the fall," adds Ostwal.

Meanwhile, rate sensitive sectors are amongst the worst hit in trades today. Tata Motors is the top loser plunging over 6% to Rs 272 after the company said its global sales remained flat in April at 87,377 units over the same period last year. India's largest automobile company had sold 87,114 units in April 2011. HDFC, Maruti Suzuki, BHEL, DLF, NTPC, ICICI Bank, Jindal Steel, Sterlite Industries, Tata Steel and Hindalco are also among the top losers, down 2.3-4.5% each. On the other hand, Gail India, ONGC, TCS and Wipro are among the notable gainers.

The BSE Auto index is the top sectoral loser, 3% to 9,441. Realty, bankex, metal, power and consumer durable indices are also trading lower by 1.6-2.4% each.

The broader markets are also under the selling pressure. The BSE mid-cap index is down 1% or 54 points at 5,871 and the small-cap index is down 45 points at 6,289 levels.