A day after a great debacle over the BSE Index of more than 700 points the markets witnessed another day of huge sell off today. The session was very choppy where both the BSE and NSE fell more than 1% each.Nifty Slid 55.90 points to close at 4867.75 going below the 4900 levels.
On the other hand BSE Sensex slid to close 199.98 point to close at 16,162.06 points. The heavy weight Reliance Industries fell by over 2% again being a significant contributor to today’s fall.
When seen over a weekly basis the cut is over 4.6% from last week where bulk of the fall came on Thursday and Friday. The markets however made its attempts to reach higher levels breaking its lows but at last had to give up due to the sell off in private banks and metal sector, besides the technology and capital sectors being one of the contributors.
The renewed recession concerns hovering over Europe and US markets are regarded as one of the primary reason for the sell off and fall in the market. Once these concerns are over and volatility is subsidised to a significant level one can expect fresh capital coming in the emerging markets..
On the currency front the Indian rupee also saw huge volatility reaching 49.77 per dollar. More than 400 shares were towards the advancing side and about 1045 shares were on the declining side on the NIFTY Index.
Bell the Bull says: Markets started of the week in a good mood but a bad closing has brought in fresh uncertainty in the markets.