Sensex in India Declines 0.9%, Rupee Struggles Despite Oil Price Collapse

Mukesh Buch
21 Aug, 2015
New York City

Market indexes on Dalal Street declined and rupee struggled despite the yearlong correction in crude oil price. Central government is planning to sell 10% stake in Coal India. HCL Infosystems reported slightly narrower quarterly loss.

[R]6:00 PM Mumbai – Market indexes on Dalal Street declined and rupee struggled despite the yearlong correction in crude oil price. Central government is planning to sell 10% stake in Coal India. HCL Infosystems reported slightly narrower quarterly loss.[/R]

Market Indexes in Mumbai declined for the second day following an Asia-wide correction after fear gripped markets in Europe and in New York.

Sensex declined and rupee flirted with record low despite the deepening correction in crude oil price in the year.

Oil, the largest imported commodity and the largest contributor to the trade deficit has now dropped more than 50% in the last twelve months. Despite the sharp sell-off in crude oil, rupee has dropped more than 15% in the year so far.

Rupee weakened 27 paisa to 65.81 against one U.S. dollar.

The Sensex Index slipped 241.75 or 0.9% to close at 27,366.07. The CNX Nifty decreased 72.80 or 0.9% to 8,299.95.

For the week, Sensex Index declined 2.7% and CNX Nifty plunged 2.8%.

Gainers & Losers

Caplin Point Laboratories Limited soared 7.7% to ₹1,458.50 after net in the fourth-quarter surged 81.8% to ₹12.69 crore.

Net sales in the quarter soared 46.2% to ₹70.13 crore.

Coal India Limited edged down 0.4% to ₹348.70 after the government plans to sell 10% stake in the company.

DEN Networks Limited fell 1% to ₹126.50 after the cable services provider received Foreign Investment Promotion Board approval to increase foreign investment limit in the company to 74% from 49%.

HCL Infosystems Limited dropped 2.3% to ₹45.40 after net loss in the fourth-quarter narrowed to ₹41.45 crore compared to ₹47.16 crore in a year ago month.

Net sales in the quarter soared 22.5% to ₹1,685.50 crore.

IDBI Bank Limited edged up 0.9% to ₹67.10 after the bank plans to receive capital infusion of ₹2,229 crore from the central government.

Monnet Ispat & Energy Limited soared 5.8% to ₹32.95 after the company is in talks with Bhushan Steel to sell its entire 35% stake in Orissa Sponge Iron and Steel Ltd, the CNBC TV reported.

NTPC Limited decreased 1.4% to ₹123.45 after the electricity producer plans to raise ₹5,000 crore through a bond offering.

Tata Communications Limited jumped 3.4% to ₹416.75 on reports that Google Inc and Amazon are in talks to buy the data centre business for about ₹4,261 crore to ₹4,589 crore, according to a report by Economic Times.

Uber, the Taxi-hailing service provider entered into a partnership with Bharti Airtel Ltd to offer to free 4G services for riders and drivers in India.

The service will be first launched in Mumbai on Saturday, and in other cities in the next few weeks.