Business Standard

Metal, bank stocks lead 240-pt Sensex fall

Image

Bloomberg

The Bombay Stock Exchange's Sensitive index or Sensex fell the most in a week as investors sold shares ahead of the vote counting for the national election on May 16.

Sterlite Industries, the country's largest copper producer, dropped 5.1 per cent. Wipro, the nation's third-biggest software developer, slid 6.8 per cent. HDFC Bank lost the most in more than week after a 2.7 per cent stake was sold.

"People are jittery before the election results next week," said U P Bhat, who helps manage about Rs 500 crore in equities at Canara Robeco Asset Management in Mumbai. "Markets are down due to profit booking by domestic funds."

 

The Sensex fell 240.51 points or 2 per cent to close at 11,87 6.43. The gauge rose 4.2 per cent this week, its ninth weekly advance and longest winning streak in almost three years. The S&P CNX Nifty Index of the National Stock Exchange (NSE) slid 1.7 per cent to 3,620.7. The BSE 200 Index declined 1.6 per cent to 1,403.4. Nifty Futures for May delivery slid 1.5 per cent to 3,626.55.

Copper futures for July delivery declined 1 per cent yesterday, retreating from a three-week high on LME.

 

 

 

 

 

The metal for three-month delivery added 1.1 per cent. Aluminum slid 0.6 per cent to $1,575 a tonne. Sterlite fell 5.1 per cent to Rs 490.30. Hindalco Industries, the country's biggest aluminum producer, dropped 2.8 per cent to Rs 68.3.

 

 

 

 

Hindalco had its rating cut to 'underperform' from 'neutral' at Macquarie Group, which said the shares are looking "overstretched". Wipro slid 6.8 per cent to Rs 355.10. Sterlite's relative strength index, which measures how rapidly prices rose or fell during the specified period, climbed above 70 yesterday. Some investors regard readings at 70 and above as a signal to sell. Hindalco's relative strength index was at 72.46 yesterday. HDFC Bank declined 2.8 per cent to Rs 1,144.05, the most since April 28. DBS Group Holdings sold 11.62 million shares of HDFC Bank for Rs 1,110.10 apiece, a person with direct knowledge of the sale said. Overseas funds bought a net Rs 688 crore of Indian stocks on May 6, according to Sebi, the nation's stock market regulator.

 

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: May 09 2009 | 12:55 AM IST

Explore News