Sensex dips below 8-year low

MUMBAI, SEPT. 21. Pressured by sustained pounding in key heavyweights such as Infosys Technologies, Reliance Industries, Hindustan Lever and Satyam Computers, the Sensex closed below the eight-year low at 2600.12 on the Bombay Stock Exchange today.

Foreign institutional investors, who have borne the brunt of the September 11 terrorist attacks on the U.S. not only continued their battering in new economy stocks but also unloaded heavily in prominent blue chips fearing a devastating impact on the global economies from the imminent air strikes on neighbouring countries by the U.S.

As a result, the BSE benchmark 30-share index collapsed below the 2600 level during the session and later closed at 2600.12 against yesterday's close of 2761.54, netting a huge fall of 161.54 points or 5.85 per cent. The Sensex had closed at 2612.25 on November 2, 1993. The BSE barometer had dipped to near the eight- year low at 2640.58 during trading earlier on September 17. The BSE-100 index dropped by 61.48 points to 1216.37 from 1277.85.

Several key counters including Infosys Technologies, Reliance Industries, ITC, SBI, Satyam Computers, RPL, NIIT, Digital Equipment, Hindalco, Pentamedia Graphics, Silverline and SSI hit the new 52-week lows due to unabated selling pressure.

Investors in major world markets showed disinterest because of rapidly deteriorating economic outlook. While the Dow Jones Industrial Average and the Nasdaq composite index tumbled further by about 383 points and 57 points respectively yesterday, Tokyo, Hong Kong and Singapore markets reacted negatively closing sharply down.

Heavyweights such as Reliance Industries, Infosys and Satyam Computers found no buyers and were stuck in the 10 per cent lower circuit filter at close.

In the specified group, 135 including 25 index-based shares registered sharp to moderate losses while 35 others finished with marginal gains.

The BSE-200 and the Dollex-200 were sharply down at 268.39 and 93.07 against 280.56 and 97.19 respectively.

- PTI

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