| Font Size |
The BSE barometer closed down by 94.41 points at 9,291.01. With selling pressure intensifying, it even plunged by nearly 428 points to touch the intra-day low of 8,956.68 points.
The 30-share Sensex had slipped below 8,000 level at 7,697 points on October 27 last.
The National Stock Exchange index, Nifty, also fell by 10.80 points at 2,799.55.
Brokers said selling pressure intensified with investors forseeing economic outlook deteriorating as Japan joined the list of economies in recession. They said investors were also worried because the leaders of G-20 nations failed to produce concrete measures to tackle the global crisis.
At the G-20 summit on Saturday, Prime Minister Manmohan Singh warned that the financial meltdown has exploded into a systemic crisis, while world leaders called for a strong regulatory mechanism to bring transparency in financial system and stimulate growth to beat recession.
Marketmen said trading sentiment were dampened following rating agency JPMorgan's cutting its forecast for India's economic growth.
Realty sector index suffered the most by losing 5.17 per cent at 1907.51 with all the 14 components led by Sobha Developers and DLF ended in negative zone.
Banking sector index was second worst performer by losing 3.87 per cent at 4956.04. Banking stocks such as ICICI Bank and HDFC Bank led the fall as investors fretted a weakening economy would raise defaults.
Discuss this story on expressindia forums
|
|
There's no way things to be rosy again. The agreements of US with Saudi (for all oil transactions), IMF and World Bank (for all international lending - structural adjustments), other donar agencies (for funding activities) do not give the freedom for the other party to retreat and opt for transactions in other emerging currencies at the wake of collapse of US markets. Thus dollar-trade will continue. There's nothing like focus shifting to emerging economies like the wishful thinking of our great PM - in fact PM knows more inside facts about WB being its ex-official himself. The nuclear deal also seals our fate to deal in other currencies. So the downslide will only continue like a fierce tailspin. The worrying point is - first the markets will experience free fall - next the governance mechnanisms will follow suit - world's people have lost faith in markets and will soon lose faith with all mechanisms that claim to govern them. In this hour of pre-pandemonium, what is needed is extreme sensibility and complete sensitivity for things not to go out of control. Allow people to decide their own fate. Let experts, leaders (religious and political) and institutions prepare for a deep hibernation.