Indian markets cut some losses on the back of good third-quarter numbers from RIL but they are still trading lower following heavy selloff in global markets.
Losses were spread across most global markets, following an overnight retreat in the US, after President Barack Obama proposed a sweeping overhaul of Wall Street banks to avert future financial crises. Obama said he would seek to limit the size and complexity of large financial companies so their collapse wouldn't imperil the broader financial system and economy, leading to more bailouts at taxpayers' expense. The move comes amid growing public frustration with Wall Street and bank rescues. After plunging to 4,950 levels at its day’s low, Nifty was trading at 5,054, down 39 points. Sensex was trading at 16,928, down 122 points. Indian markets cut losses after RIL came out with better than expected results.
Reliance Industries on Friday said the net profit of the company rose to Rs 4008 crore in the third quarter from Rs 3501 crore in the year-ago period. The company’s sales during the period stood at Rs 56,856 crore as against Rs 31,563 crore in the third quarter of 2008. The average estimate of analysts in a NDTV poll was for net profit at Rs 3,912 crore and sales at 52,297 crore. Buoyed by good numbers the RIL stock was up nearly 1.5 per cent.
IT, realty and heathcare stocks continue to drag the markets lower while FMCG and oil & gas stocks saw some buying.
Losses were spread across most global markets, following an overnight retreat in the US, after President Barack Obama proposed a sweeping overhaul of Wall Street banks to avert future financial crises. Obama said he would seek to limit the size and complexity of large financial companies so their collapse wouldn't imperil the broader financial system and economy, leading to more bailouts at taxpayers' expense. The move comes amid growing public frustration with Wall Street and bank rescues. After plunging to 4,950 levels at its day’s low, Nifty was trading at 5,054, down 39 points. Sensex was trading at 16,928, down 122 points. Indian markets cut losses after RIL came out with better than expected results.
Reliance Industries on Friday said the net profit of the company rose to Rs 4008 crore in the third quarter from Rs 3501 crore in the year-ago period. The company’s sales during the period stood at Rs 56,856 crore as against Rs 31,563 crore in the third quarter of 2008. The average estimate of analysts in a NDTV poll was for net profit at Rs 3,912 crore and sales at 52,297 crore. Buoyed by good numbers the RIL stock was up nearly 1.5 per cent.
IT, realty and heathcare stocks continue to drag the markets lower while FMCG and oil & gas stocks saw some buying.
As in the US, bank stocks fell in Asia on Friday but other industries also suffered steep drops as investors scaled back their riskier bets amid uncertainty about the ultimate effects of the U.S. proposal.
Japan helped lead Asia's declines, with the Nikkei 225 stock average diving 267.70 points, or 2.5 per cent, to 10,600.70
Elsewhere, Hong Kong's Hang Seng dropped 530.16 points, or 2.5 per cent, to 20,332.51 and Korea's main market index lost 43.79 points, or 2.5 per cent, to 1,678.22.
China's Shanghai benchmark fell 2.4 per cent. In the U.S. Thursday, Wall Street was yanked lower by heavy selling in bank stocks.
The Dow fell 213.27, or 2 pe rcent, to 10,389.88, its biggest point and percentage drop since October 30.
Though the key benchmark indices had cut some losses, it still traded sharply lower. President Barack Obama's plan to change the way big banks make their money plunged global stock markets back into the fear and uncertainty that marked the financial crisis. Obama said on Thursday that he would ask Congress for limits on how big banks can become and to end some of the risky trades financial companies use to supercharge their earnings.
Big bank stocks in the US skidded and investors worried the plan would destabilize Wall Street's 10-month rally.
On Thursday, the Dow Jones industrial average fell 213.27, or 2 percent, to 10,389.88. After Thursday’s losses, the Dow is down 0.4 per cent for the year. Following sharp overnight losses on Wall Street, major Asian markets plunged on Friday, with Japan’s Nikkei plunging over 2 per cent.
Japan helped lead Asia's declines, with the Nikkei 225 stock average diving 267.70 points, or 2.5 per cent, to 10,600.70
Elsewhere, Hong Kong's Hang Seng dropped 530.16 points, or 2.5 per cent, to 20,332.51 and Korea's main market index lost 43.79 points, or 2.5 per cent, to 1,678.22.
China's Shanghai benchmark fell 2.4 per cent. In the U.S. Thursday, Wall Street was yanked lower by heavy selling in bank stocks.
The Dow fell 213.27, or 2 pe rcent, to 10,389.88, its biggest point and percentage drop since October 30.
Though the key benchmark indices had cut some losses, it still traded sharply lower. President Barack Obama's plan to change the way big banks make their money plunged global stock markets back into the fear and uncertainty that marked the financial crisis. Obama said on Thursday that he would ask Congress for limits on how big banks can become and to end some of the risky trades financial companies use to supercharge their earnings.
Big bank stocks in the US skidded and investors worried the plan would destabilize Wall Street's 10-month rally.
On Thursday, the Dow Jones industrial average fell 213.27, or 2 percent, to 10,389.88. After Thursday’s losses, the Dow is down 0.4 per cent for the year. Following sharp overnight losses on Wall Street, major Asian markets plunged on Friday, with Japan’s Nikkei plunging over 2 per cent.
0 comments:
Post a Comment