MUMBAI: Benchmarks were reeling under selling pressure as traders pressed sales after the July IIP data was below market expectations. Weak cues from Asian peers following economic crisis in the Europe kept bulls on the sidelines.
India's Index of Industrial Production grew at 3.3 per cent in the month of July against 8.8 per cent a month ago. Manufacturing growth was at 2.3 per cent vs 10.8 per cent.
According to analysts, the rate hike in interest rates by the Reserve Bank of India has been impacting growth adversely. The RBI is expected to hit rates by another 25 basis points at its meet this week to control inflation which is above the comfort level.
At 11:15 am; Bombay Stock Exchange's Sensex was at 16504.47, down 362.50 points or 2.15 per cent. The 30-share index touched intraday low of 16464.75 and high of 16668.25.
National Stock Exchange's Nifty was at 4945.10, down 114.35 points or 2.26 per cent. The broader index touched a high of 4985.60 and low of 4931.25 in trade so far.
The partially convertible rupee weakened past the 47 to a dollar mark to hit 47.0050, a level last seen on Aug. 31, 2010.
"As we were mentioning that the short term trend is slightly overbought and we could see profit emerging at higher levels. Nifty will face resistance at higher levels around 5180-5200 and the 50-day EMA is also placed around 5230 which will be very difficult to breach in the absence of any big trigger.
On the lower side support seen at 4970 - 4935 levels and this relief rally could damage only if nifty future breaks below 4900," said Nirmal Bang report.
BSE Midcap Index was down 1.68 per cent and BSE Smallcap Index declined 1.78 per cent.
Amongst the sectoral indices, BSE Metal Index was down 3.51 per cent, BSE IT Index declined 3.40 per cent and BSE Bankex slipped 2.74 per cent.
Jindal Steel (-5%), Tata Motors (-4.27%), Jaiprakash Associates (-4.14%), Sterlite Industries (-3.94%) and Tata Steel (-3.78%) were the major Sensex losers.
Tata Motors was under pressure after its group Chief Executive Officer Carl-Peter Forster resigned with immediate effect, only 18 months after joining the company.
Hindustan Unilever (3.12%), ONGC (0.80%) and Cipla (0.74%) were the only index gainers.
India's Index of Industrial Production grew at 3.3 per cent in the month of July against 8.8 per cent a month ago. Manufacturing growth was at 2.3 per cent vs 10.8 per cent.
According to analysts, the rate hike in interest rates by the Reserve Bank of India has been impacting growth adversely. The RBI is expected to hit rates by another 25 basis points at its meet this week to control inflation which is above the comfort level.
At 11:15 am; Bombay Stock Exchange's Sensex was at 16504.47, down 362.50 points or 2.15 per cent. The 30-share index touched intraday low of 16464.75 and high of 16668.25.
National Stock Exchange's Nifty was at 4945.10, down 114.35 points or 2.26 per cent. The broader index touched a high of 4985.60 and low of 4931.25 in trade so far.
The partially convertible rupee weakened past the 47 to a dollar mark to hit 47.0050, a level last seen on Aug. 31, 2010.
"As we were mentioning that the short term trend is slightly overbought and we could see profit emerging at higher levels. Nifty will face resistance at higher levels around 5180-5200 and the 50-day EMA is also placed around 5230 which will be very difficult to breach in the absence of any big trigger.
On the lower side support seen at 4970 - 4935 levels and this relief rally could damage only if nifty future breaks below 4900," said Nirmal Bang report.
BSE Midcap Index was down 1.68 per cent and BSE Smallcap Index declined 1.78 per cent.
Amongst the sectoral indices, BSE Metal Index was down 3.51 per cent, BSE IT Index declined 3.40 per cent and BSE Bankex slipped 2.74 per cent.
Jindal Steel (-5%), Tata Motors (-4.27%), Jaiprakash Associates (-4.14%), Sterlite Industries (-3.94%) and Tata Steel (-3.78%) were the major Sensex losers.
Tata Motors was under pressure after its group Chief Executive Officer Carl-Peter Forster resigned with immediate effect, only 18 months after joining the company.
Hindustan Unilever (3.12%), ONGC (0.80%) and Cipla (0.74%) were the only index gainers.
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