Stock Market Updates for Today (9th August '11)
The Indian benchmark indices Sensex and Nifty extended their losing streak to a sixth successive day today, but thanks to some hectic short-covering and bargain hunting, ended with far less losses than feared this morning following a big gap down opening and subsequent sharp fall.
The overnight terrible setback on Wall Street following a huge sell-off on the back of Standard & Poor's rating downgrade on U.S. credit, and the resultant plunge in Asian markets set up another disastrous start for Indian stocks. Weak economic data from China too contributed to the bearish sentiment.
However, a statement from Standard & Poor's that there may not be an immediate impact of the downgrade of US credit rating on India and a recovery in some Asian and European markets triggered some strong buying at several front line counters in early afternoon trade.
Though the recovery that lifted the market into positive territory turned short-lived after European markets caved in to pressure amid concerns about the ongoing credit crisis, stocks found some support again during the final hour and significantly cut down their losses by the end of the day.
The Sensex, which went down by over 550 points to around 16,432 following a weak start but rallied to 17,135 around early afternoon, ended the day at 16,857.91 with a loss of 132.27 points or 0.78%.
The Nifty, which hit a low of 4946.65 and a high of 5167 during the session, settled at 5072.85, netting a loss of 45.65 points or 0.89%.
Posts
