Sensex falls 323 points, closes at 14 ,000

The Bombay Stock Exchange (BSE) Sensex fell for the fourth straight session today, losing over 323 points on selling by funds, even as industrial production showed signs of recovery. The 30-share Sensex, which has lost over 620 points in the last three trading sessions, dropped by 323.48 points to 14,000.81. The shares touched an intraday high of 14,433.20 points and a low of 13,933.87 points. Similarly, the wide-based NSE index, the Nifty fell by 61.85 points to 4,228.45.

After a promising start, the market turned bearish, ignoring modest growth of 7.1 per cent in the Index of Industrial Production (IIP) in July.

Although the rupee depreciated against the greeback, which will result in better margins for exporters, IT stocks fell following a negative forecast of earnings. The IT index fell sharply by 4.60 per cent to 3,806.74 points after Infosys lost Rs 106.90 to Rs 1,644.10, Satyam Computers lost Rs 14.60 to Rs 406.55, Tata Consultancy Rs 27.95 at Rs 808.15 and Wipro Rs 7.15 at Rs 419.75.

Indian software exporters get over 50 per cent of their revenue from the US markets.

The oil and gas sector index dropped 223.30 points at 9,116.44 with the sector leader and Sensex-heaviest Reliance Industries dropped Rs 6,620 at Rs 1,931.40. Aban Offshore lost Rs 16 at Rs 2306.20, ONGC by Rs 12.65 at Rs 1,022.80 and RNRL by Rs 3.35 at Rs 87.95.

The banking index fell by 181.44 points at 7,029.22, after Sensex-linked ICICI Bank fell Rs 33.60 at Rs 652.85, State Bank of India by Rs 26.15 at Rs 1512.30, Axis Bank Rs 11.20 at Rs 692.70, Yes Bank by Rs 5.95 at Rs 134.30 and Oriental Bank of Commerce Rs 8.65 at Rs 173.

The realty index fell by 182.11 points at 4,693.72 as segment majors DLF fell Rs 17.65 to Rs 467.90, Akruti City by Rs 42.75 at Rs 826.05, Sobha Developers by Rs 12.45 at Rs 260.40 and Unitech Rs 3.25 at Rs 155.15.

The metal index fell by 110.37 at 10,881.42 after Tata Steel fell Rs 2.85 at Rs 523.45, Jindal Steel Rs 66.55 at Rs 1586.15 and Jindal Saw Rs 4.80 at Rs 619.65.