Metal stocks slide in subdued market

Sustained selling in index pivotals weighed on weak global cues kept the bourses subdued in afternoon trade. The metal stocks were under selling pressure, led by Sterlite Industries which tanked over 9%. The BSE 30-share Sensex was down 86 points.
The US stocks slumped on Tuesday as financial shares sold off on worries about Lehman Brothers' ability to raise much-needed cash. The Dow Jones industrial average plunged 280.01 points, or 2.43%, to 11,230.73. The S&P 500 index fell 43.28 points, or 3.41%, to 1,224.51, and the Nasdaq Composite index declined 59.95 points, or 2.64%, to 2,209.81.
Asian markets were mixed on Wednesday. Key benchmark indices in Japan, Hong Kong, Singapore were down by between 0.81% and 1.55%. Indices in China, South Korea, and Taiwan rose between 0.52% and 0.79%.
At 12:25 IST, the BSE 30-share Sensex was down 86.04 points or 0.57% to 14,815.41. It opened 188.23 points lower at 14,717.53, which is also its day's low so far. At the day’s high of 14,866.32 hit in mid-morning trade, the Sensex fell 34.44 points.
The S&P CNX Nifty slipped 17.05 points or 0.38% to 4,451.65.
Reliance Power was down 0.12% to Rs 169.20 on 18.12 lakh shares. The stock replaced Dr Reddy’s Labs in Nifty index from today. Dr Reddy’s Labs slipped 1.14% to Rs 571.85.
The market breadth was negative on BSE with 1247 shares declining as compared to 1066 that advanced. 101 remained unchanged.
The total turnover on BSE amounted to Rs 2114 crore by 12:30 IST on BSE as compared to Rs 1289 crore by 11:30 IST.
Among the 30-member Sensex pack, 17 advanced while the rest declined.
The BSE Metal index lost the most among the sectoral indices on BSE, sliding 2.64% to 11,490 weighed by steep fall in Sterlite Industries. India’s largest aluminium and copper maker by sales tanked 9.24% to Rs 522.50 after plunging 7.50% to Rs 575.70 yesterday, 9 September 2008. The Sterlite ADR tumbled 16.23% yesterday, 9 September 2008 on the New York Stock Exchange (NYSE).
The counter saw high volumes of 22.95 lakh shares on BSE today. It was the top loser from the Sensex pack. The company yesterday, 9 September 2008 said its parent Vedanta Resources PLC has approved a restructuring program of the group's businesses. Under the scheme, Sterlite will demerge its aluminium and energy businesses to Madras Aluminium which will be later renamed Sterlite Aluminum. Sterlite Industries shareholders would get seven shares in Madras Aluminium for every four shares held as part of a restructuring.
Tata Steel (down 2.59% to Rs 549.80), Sesa Goa (down 2.92% to Rs 143.20), and Hindustan Zinc (down 1.16% to Rs 543), were the other losers from metal pack.
India’s largest private sector firm by market capitalization and oil refiner Reliance Industries (RIL) declined 1.72% to Rs 2106.70 on 3.13 lakh shares. The stock came off its day’s high of Rs 2135 hit in early trade. As per reports, the Prime Minister’s Office (PMO) may recommend levy of export tax or even ban petroleum product exports from Reliance's export oriented refineries in Jamnagar.
ICICI Bank (down 2.29% to Rs 696.50), Tata Power (down 1.98% to Rs 1065), and Maruti Suzuki India (down 1.21% to Rs 699.60), edged lower from Sensex pack.
North India’s largest cement maker by sales ACC gained 1.47% to Rs 605.40 and was the top gainer from Sensex pack.
India’s second largest software services exporter Infosys Technologies rose 1.13% to Rs 1767. The stock came off day’s low of Rs 1726.
Jaiprakash Associates (up 1.28% to Rs 174), Wipro (up 0.86% to Rs 437.90), and Hindalco Industries (up 0.68% to Rs 126.60), edged higher from Sensex pack.
Among the small and mid-cap stocks, Atul Auto (up 18.43% to Rs 49.35), Savera Hotel (up 14.18% to Rs 62.80), Indowind Energy (up 12.65% to Rs 69.45), RSWM (up 12.21% to Rs 81.80), and Xpro India (up 12% to Rs 28), surged.
Shreyas Shipping & Logistics rose 0.91% to Rs 55.20 after the company said it has sold its vessel M V OEL India for consideration of $28.50 million. The company made this announcement during trading hours on Tuesday, 9 September 2008, when the stock surged 7.57% to Rs 54.70.
Hydro S&S Industries galloped 16.17% to Rs 40.40 after the company said its board will meet on 16 September 2008 to consider buyback of equity shares. The company made this announcement after trading hours on Tuesday, 9 September 2008.
Madras Cements gained 5.11% to Rs 2644.05 after the company’s board fixed 10 October 2008 as the record date for 1:1 bonus issue and 10-for-1 stock split. The company fixed the record date after trading hours on Tuesday, 9 September 2008.
Meanwhile the central bank governor Duvvuri Subbarao said on Tuesday, 9 September 2008 that India's inflation is showing signs of moderating but it is too early to conclude whether this is a trend and signaled that he would wait and see before taking any fresh steps.
US crude for October 2008 delivery rose 52 cents at $103.78 a barrel today, 10 September 2008, after the Organisation of Petroleum Exporting Countries (Opec) surprised traders with a deal to effectively cut production by just over 500,000 barrels per day (bpd). US crude for October 2008 delivery had touched a 5-month low of $103.72 yesterday, 9 September 2008.