Indian markets witnessed a sell-off as BSE Sensex and NSE-Nifty tanked over 2%. The markets opened today's session on a weak note following global cues. U.S employment figures indicated towards the fact that the Federal Reserve might consider raising interest rates sooner. Amidst speculation coupled with worries over the Greek crisis and Asian economic numbers, Asian stock markets predominantly traded in the red. European stocks are also trading the red following these concerns. DAX and FTSE are trading with 0.4% and 0.7% losses.
BSE Sensex and NSE Nifty fell 604 points and 181 points respectively. Banks, Capital Goods and IT sector were the major losers. However, the pharmaceutical sector was buoyant against the sell off and managed to close in the green. BSE Mid Cap and BSE Small Cap, which fell over 1%, however bettered the broader indices. Crude oil prices have fallen 0.8% and are currently trading at Rs 3,113 per barrel. Gold prices and silver prices have increased 0.5% and 0.4%, respectively. Gold prices, per 10 grams, is trading at Rs 26,100 while Silver prices, per kilogram, is trading at Rs 36,150. The price of Indian Rupee against the U.S. Dollar increased 0.7% to Rs 62.59.
Despite the power sector, as a whole, remained in the red, companies such as Jindal steel and Power and Suzlon traded in the green. During early trade the stock price of Suzlon gained over 4.5%, however, ended the day with 2% gains. The debt-ridden company plans to off-load the debt by selling its forging and foundry arm. The company has invested about Rs 10 bn in the arm. The forging arm of the company is located at Baroda while foundry arm in Coimbatore. The company has been making attempts to get itself out of the debt. It may be noted that on January 22, Suzlon sold its 100% ownership in Senvion for Rs 72 bn while secured investment of about Rs 18 billion from Dilip Sanghvi Family and Associates (DSA).
The Ranbaxy and Sun Pharma deal got another boost when Punjab and Haryana high court gave a green light to the "Scheme of Agreement" between the two companies. Following such developments both the companies hit their respective all-time highs. While Ranbaxy gained over 2.4%, Sun Pharma gained over 1%. In may be noted that recently, Sun Pharma had acquired approvals of various patents.