Good Evening friends, Indian Stock Market, BSE Sensex below 9000. it close at 8701. Oh God, where its going and where its going to stop?
After infusing Rs 1,85,000 crore liquidity into the banking system this month, RBI on Friday surprised the market by keeping its key rates unchanged in the mid-term review of annual monetary policy, which lowered economic growth projections to 7.5-8% for 2008-09.
Soon after the RBI announced its credit policy, markets witnessed one of the worst trading sessions following meltdown in global markets on concerns of slowing global economy and recession.
Sensex lost 1070.63 points to close at 8,701.07, down 10.96%. It is the lowest closing for Sensex since November 24, 2005.
On the other hand, Nifty ended at 2584.00, down 12.20%.
BSE Midcap closed 8.38 per cent lower and BSE Smallcap Index ended 7.66 per cent down.
DLF (-23.96%), Ranbaxy Laboratories (-17.83%), Hindalco Industries (-17.82%), Tata Motors (-16.54%), Reliance Industries (-16.44%) and Mahindra & Mahindra (-16.04%) were the worst hit.
None of the stocks in the 30-share index could survive the meltdown.
Market breadth on BSE collapsed with 2322 declines against 260 advances.
Market breadth was extremely negative on the BSE with 2322 declines and 260 advances.
With the global commodity and oil prices cooling, the central bank kept the inflation projection unchanged at 7% by end-March but emphasised that inflation continued to be a matter of concern requiring constant “vigil.”
Outlining the monetary measures, the policy said the benchmark bank rate has been kept unchanged at 6 per cent, repo rate at 8%, reverse repo at 6 per cent and CRR at 6.5%.