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Sensex falls 3.2 pct, led by Reliance Ind

March 2, 2009

MARKETS-SOUTHASIA-STOCKSIndian stocks struggled throughout trade today, weighed down by grim economic data and weakness in global markets. The benchmark index closed 3.2 percent lower, led by a fall in some heavyweight stocks.

Reliance Industries (RIL) and Reliance Petro were in focus, after the former announced that it would absorb its Reliance Petro unit through a share swap. RIL will issue one share for every 16 held in Reliance Petro.

Shares in RIL lost over 3 percent in trade, whereas Reliance Petro closed 1.38 percent lower.

It was a tough day for large caps, with stocks like ICICI plunging 7.2 percent and L&T dropping 4.4 percent.

Some stocks like Reliance Capital, Axis Bank, Punj Lloyd and Larsen & Toubro touched their 52-week lows today.

Government data released today showed exports fell an annual 15.9 percent in January.

With markets slipping fast, do you think the Sensex will drop to the 8000 level soon?

Comments

The drop in exports at 15.9% in Jan.2009 over Dec.2008 was expected.It is mirroring a global slowdown.The trend may continue for some more time.However Maruti clocking a rise in sales at 24% was a pleasant surprise.Evenmore their confidence to repeat a smart growth in March 2009 is a welcome development.A revival in auto sales generally spells an economic turn around.So are we heading towards a revival? All said GDP in 4Q 2009 should be better over 3Q 2008.A GDP fall of 3Q 2008 may have some more impact on Sensex which may unfold in next few weeks but let us pray that it doesn’t fall below 8000.

Posted by A.Kapoor | Report as abusive
 

Yes. We can only hope that we do not re-test the October 2008 lows again!

Posted by Aditya Kalra | Report as abusive
 

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