Friday, September 26, 2008

UPDATE

MARKET UPDATE FOR 26 SEPTEMBER

The key benchmark indices ended sharply lower as uncertainty

overthe fate of the US government's $700 billion rescue plan for

thefinancial sector hurt investor sentiment. As per provisionalclosing,

the BSE 30-share Sensex was down 485.64. News of thebiggest ever

US bank failure compounded the bearish sentiments,with the

US government brokering a last-ditch purchase of thriftWashington

Mutual by JPMorgan. All the sectoral indices on BSE, barring the

FMCG index, ended inred. Mid-cap and small-cap stocks, too, witnessed

major sellingpressure. India's largest drug maker by sales Ranbaxy

Laboratoriesslumped. Weak US economic data also weighed on

market sentiments. Datareleased overnight showed US-made durable

goods fell 4.5% in August2008, while sales of new homes in the US

dropped 11.5% during themonth. First-time jobless claims in the US

rose to their highestcount in seven years pointing to a slow down.