Markets remain weak, Q4 GDP at 4.8%

FMCG index was the top loser among sectoral indices on the BSE down 1.5% followed by Oil&Gas, Bankex and Auto indices.

Markets were over 1% down in late morning trades after fourth quarter GDP which came on expected lines offered no respite for the markets to stage a recovery.

At 11:30am the Sensex was down 234 points at 19,982 - slipping below the 20,000 mark once again. Nifty shed 73 points ta 6,051.

Gross Domestic Product grew at 4.8% in the quarter ending March 31, the date showed, in line with expectations. The manufacturing sector grew at an annual 2.6% during the quarter while farm output rose just 1.4%, the data showed.

Meanwhile, the government announced the GDP data this morning. India's economy grew by 5% in 2012-13, its lowest rate in a decade but in line with an official estimate, the data showed.

Dealers say the Reserve Bank of India governor's comment on Thursday that inflation still remained high and it will take into account the current account deficit for policy decisions, weighed, as it dampened rate-cut hopes in June policy review.

In Asia, the Nikkei rebounded after recent correction and was up 1.6% while Hang Seng was marginally up. Shanghai Composite and Straits Times were down 0.03-0.6% each.

FMCG index was the top loser among sectoral indices on the BSE down 1.5% followed by Oil&Gas, Bankex and Auto indices.

ITC was down 2.7% at Rs 345 after the stock was quoted ex-dividend. In the banking space, HDFC Bank, HDFC, ICICI Bank and SBI were down 1-3% each.

Mahindra & Mahindra was down 3% at Rs 974 on profit booking after recent gains post robust fourth quarter earnings.

Other Sensex losers include, Reliance Ind, ONGC, L&T and Bharti Airtel.

Among the broader indices on the BSE, the Mid-cap index was down 0.5% and the Small-cap index was also down 0.5%.

Market breadth was weak with 1,137 losers and 768 gainers on the BSE.