Sensex feels the earnings chill, loses 263 points

Source: The Hitavada      Date: 23 Dec 2016 09:18:59


Dec 22,


PAIN for stocks intensified for the seventh day as the Sensex went below the key 26,000 mark to nearly one-month low by plunging 263 points on fears of a likely hit to
corporate earnings due to currency recall and absence of any major trigger. This is its longest decline since March 2015.

Global indices too remained weak in the wake of overnight losses on the Wall Street and worries over Italy’s struggling banking sector, which depressed the Indian market. Market participants were restrained as they waited for outcome of the crucial two-day GST Council meet. Nifty cracked below 8,000-level and closed at its nearly one-month low, whose fall duration was the longest since June 2015.
Starting lower, Sensex hit a low of 25,940.14, but recovered marginally to close the day lower by 262.78 points, or 1 per cent, at 25,979.60. This is the lowest closing since Nov 24 when it had closed at 25,860.17. The gauge had lost 455.44 points in previous six straight sessions. NSE Nifty dropped 82.20 points, or 1.02 pc, to close at 7,979.10 after hovering between 8,046.45 and 7,964.95. Adani Ports was the worst-hit, down 3.56 per cent, followed by Tata Steel 3.09 pc.

Other losers included ONGC, Bharti Airtel, Tata Steel, NTPC, L&T, Infosys and SBI. ITC gained the most by rising 0.51 per cent.