GLOBEL SENTIMENT CONTINUES

Global sentiment continues to weigh on Sensex

After a firm start, the Bombay Stock Exchange sensitive index (Sensex) closed weaker by over 150 points on Friday as gloomy global economic outlook dampened investor sentiment. With selling emerging across counters, the Sensex pared 300-point gain posted in early trading before losing further to close at 9385.42 against 9536.33 on Thursday. The National Stock Exchange index, Nifty, also closed down at 2810.35, a loss of 38.10 points. Nifty also witnessed handsome gains at the outset. With Sensex touching a three-year low of 7697.39 on October 27, it has lost more than half of its value so far this year to emerge as one of the worst Asian performers. Reliance Industries, the heaviest among the Sensex stocks, fell for the fourth straight day by losing Rs. 13.60 at Rs. 1,148.55. In four days, RIL has declined by 5.69 per cent.
The second heaviest Infosys Technologies also dropped by Rs. 41.35 to Rs. 1,217.90 after Britain’s BT Group, one of its major clients, announced major job cuts. Marketmen said the fall in inflation to 8.98 per cent from 10.72 per cent in November, raising expectations of further interest rate cuts failed to improve trading sentiment as economic outlook for countries across the world is depressingly grim