Weak trades continue

The markets continued to witness weak trades with the BSE Sensex at 17,122, down 240 points and the Nifty at 5,205, down 73 points.

Banking shares continue to drag the index lower. BSE bankex has dropped 1.7% to 11,660. ICICI Bank is the biggest dragger on the Sensex, accounting for a 36-point loss.

Earlier in the day, the BSE benchmark index touched the day's high at 17,378 and the day's low at 17,092.

In Asia, Japan's Nikkei share index edged up after last week's slight correction as investors bought metals shares and picked up laggard blue chips, while a softer yen continued to underpin market sentiment. The index is at 10,040, up 0.29%. The Shanghai Composite and Hang Seng indices are trading marginally higher.

All the sectoral indices are in the red. BSE Realty, Oil & Gas, IT indices, down 1-2% each, are among the top losers.

Tata Power, ICICI Bank, Bharti Airtel, NTPC and TCS, down 2-4% each, are the prominent losers on the Sensex. The gainers from the pack are Jindal Steel, Wipro and Tata Steel, up marginally.

Among individual stocks, Gammon Infrastructure Projects has rallied 9% to Rs 14.75 after the company said it has received the construction contract worth of Rs 935 crore from the National Highways Authority of India (NHAI).

Kingfisher Airlines is trading lower by 4% at Rs 17.20 ahead of the Directorate General of Civil Aviation (DGCA) report which may be released later today. According to the media reports, civil aviation minister Ajit Singh has warned Vijay Mallya, the promoter of the private sector carrier to pay his dues in order to keep flying.

Manappuram Finance has dipped 10% to Rs 32.75, extending its 20% fall in past two trading days, after the Reserve Bank of India (RBI) tightened rules for lending against gold by finance companies.

The overall market breadth is negative as 1,484 stocks have declined against 888 advancing ones, on the BSE.