The benchmark Sensex on 10 August lost 232 points to close well below 15,000 on panic selling by funds as well as retail investors after a meltdown in global markets on fears about a spreading credit crunch. The Sensex, which had tumbled nearly 530 points in early trade, recovered partially to close down by 231.90 points, or 1.54%, at 14,868.25. It had lost nearly 207 points in the previous session. In a similar fashion, the wide-based National Stock Exchange’s Nifty fell 69.85 points to 4,333.35, after touching an intra-session low of 4,239.20 and a high of 4,395.50.
Stock brokers said sustained fall in stock prices for the second straight session was mostly attributed to global nervousness due to the US subprime crisis that is now affecting European banks as well. This sparked panic selling by major players in the domestic bourses. However, covering up of short position by speculators trimmed early losses in most of the stocks, they said.
Barring IT, all the key sectoral indices ended in the red with sharp losses. The IT sector index ended 40.26 points higher at 4,774.13 points after Infosys Technologies gained Rs16.25 at Rs1,952.25, HCL Technologies by Rs11.85 at Rs323.80, Satyam Computer by Rs12.30 at Rs479.40 and Mphasis by Rs6.80 at Rs297.70.
