The Hindu : Weak global markets hit sentiment on BSE

Online edition of India's National Newspaper
Tuesday, Jul 16, 2002

Business

Business

Weak global markets hit sentiment on BSE

MUMBAI JULY 15. Equities got a severe beating and key heavyweights dropped sharply pushing the Sensex down by 27 points at close on the Bombay Stock Exchange today in the wake of all round selling triggered partly by a major terrorist strike in Jammu last Saturday. Sentiment was adversely affected by the continued weak trend in global markets.

Depicting fresh stocks slide, the BSE benchmark-30 share index which opened marginally lower at 3302.64, later met with strong resistance and dipped to the intra-day low at 3258.72 before ending at 3278.71 against last Friday's close of 3305.83, netting a fall of 27.12 points. The broad-based BSE-100 index moved down by 11.55 points to 1648.97 from 1160.52.

Attributing the sell-off that was mostly by speculators and investors to the first major terrorist strike in recent weeks, in which 28 persons were killed in Kashmir as also to stocks meltdown on Wall Street and Asian markets, brokers said last week's fall by a whopping 695 points in the Dow Jones Industrial Average seemed to be the main cause of concern. — PTI

Dow dives

Investors extended Wall Street's selloff on Monday seeing no reason to buy stocks while they await the release of second-quarter earnings results. The Dow Jones industrials fell more than 300 points, heading for their fifth triple-digit loss in six sessions.

Corporate accounting scandals have spooked investors, making them mistrustful of earnings reports and outlooks for the remainder of the year.

In late morning trading, the Dow was down 283.14, or 3.3 per cent, at 8,401.39, having last week dropped 694.97, or 7.4 per cent, in five straight losing sessions. It was the blue chips' largest weekly point decline since September 21, when they dropped 1,369.70 following the terrorist attacks.

The broader market was also lower. The Nasdaq composite index fell 21.64, or 1.6 per cent, to 1,351.86, after last week's loss of 74.86, or 5.2 per cent. — AP

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