Tuesday 22 January 2008

Sensex collapses; trading halted for 1 hour

The market has opened with a huge gap down. Within seconds the market hit 10% lower circuit and is now closed for an hour. It will re-open at 10.55 AM. Sensex closed at 15,888, down 1716 points from the previous close. Nifty closed at 4578, down 630 points.
Finance Minister P Chidambaram is hopeful that the markets will have a new beginning at 10.55 AM today, reports CNBC-TV18. Corporate profits are high, therefore corporate tax are also at an all-time high, he says. The government is not advising domestic institutions on any action, he adds. He also assures that enough liquidity will be provided. Today's crash will not impact the long-term sentiment, he says
One should stay away from smallcaps now, says Ambareesh Baliga of Karvy Stock Broking, on CNBC Awaaz. He recommends picking stocks like Dr Reddys, Infosys, TCS, Satyam, among others