Nifty breaks 5K, down 60pts

The markets continue to trade in the red on the backdrop of downgrading global growth and India GDP forecast by Morgan Stanley from 7.4% to 7.2% for FY12. The S&P Nifty has slipped back, below the 5,000 mark, and is now down 59 points at 4,998. Last week, the index had touched a low of 4,946. The BSE benchmark index, the Sensex, is at 16,619, down 222 points.

Weak Asian markets, too, have rubbed off their negativity on the bourses. The markets have been trading lower since their opening as exporter shares were hurt due to stronger Yen. The Hang Seng index is at 20,203, down 0.4%, the Shanghai Composite is at 2,586, down 0.6% and the Nikkei is at 8,981, down 0.8%.

Among the sectoral indices, rapid selling in IT and financials has made the indices the major laggards on the Sensex. The BSE IT index is at 5,015 and Bankex is at 11,078, down 3% each.

Tech Mahindra, Wipro, TCS, MphasiS and Infosys, down 3-4% each, are the major losers among the IT pack.

IDBI Bank, Bank of Baroda, ICICI Bank, Axis Bank and Punjab National Bank, down 4-5% each, are the top losers from the Bankex sector.

Among the Sensex 30 stocks, ICICI Bank, Wipro, Jindal Steel, TCS and Wipro, down 3-4% each, are the major losers. On the other hand, DLF, Hero MotoCorp, Hindustan Unilever, Bharti Airtel and ONGC, down 1-3% each, are the top gainers among the pack.

DLF has bounced back at Rs 182, up 3%, after having touched its 28-month low yesterday on reports that the Competition Commission of India (CCI) has imposed a penalty of Rs 630 crore for abusing of market dominance and unfair trade practices. The realty giant has said that the company was exploring all options, including challenging the order before Competition Appellate Tribunal.

While, Coal India has slipped in the red at Rs 396, down 0.6% inspite of having been proclaimed as the country's largest company in terms of market capitalisation. This is the first time since 2007 that a public sector entity has occupied the top slot on the bourses.

The overall market breadth is negative as 1,681 stocks have declined against 690 advancing ones on the BSE.