Sensex down 176pts; cement stocks crumble

The Sensex is now down 176 points at 12,874.

Cement stocks witnessed fresh selling pressure following reports that the government and cement makers have reached an agreement to freeze prices for one year. ACC has plunged 3.7% to Rs 802. Gujarat Ambuja has shed 3% to Rs 110, and Grasim has slipped over 2% to Rs 2,188.

BHEL has dropped over 4% to Rs 2,084. ITC has tumbled 3% to Rs 155.

Dr.Reddy's and Cipla have declined over 2.5% each to Rs 658 and Rs 231, respectively.

Tata Motors, Satyam and Reliance Communications are down 2% each to Rs 754, Rs 437 and Rs 426, respectively.

NTPC has surged 2.5% to Rs 140, and Tata Steel has gained 2% at Rs 436.

Out of 2,339 stocks traded so far, 1,146 have advanced, 1,125 have declined and 68 are unchanged.