Sensex slips 83 pts,IT stocks down

Likewise,the 50-share National Stock Exchange index Nifty lost 25.75 points to close at 5,691.40.

In 30-share Sensex,23 stocks declined led by Jindal Steel,Hero MotoCorp,Hindalco,Infosys and ITC. RIL was down 0.58 per cent. In the IT pack,TCS and Wipro also ended lower.

Brokers said trading as choppy throughout as investors were seen winding up positions ahead of October month derivatives expiry.

“Market participants remained cautious on Tuesday ahead of trading holiday on account of Dussehra tomorrow,while,investors may adopt a guarded approach ahead of the F&O expiry ,” said Amar Ambani,Head of Research,IIFL.

Hero MotoCorp fell 1.90 per cent ahead of its earnings,while ITC Ltd lost 1.29 per cent on profit selling after investors judged the recent gains as excessive,said traders. However,L&T shares continued their upward march and ended 1.91 per cent up after higher-than-expected Q2 earnings.

The market also remained under pressure on reports of downgrading of credit ratings on five Spanish regions.

Selling was across-the-board as 12 out of 13 BSE sectoral indices closed lower with consumer durable,IT,Metal and FMCG segments suffering the most,while Capital Goods index was the lone gainer.

Globally,Asian stocks ended narrowly mixed amid concern over slowing corporate earnings growth and as Europe struggles to contain its debt crisis,said analysts. Key benchmark indices in China,South Korea and Taiwan finished with losses while those from Japan and Singapore ended with small gains. The Hong Kong market was closed today.

European markets were quoting lower in their afternoon trades. France’s CAC was down by 0.54 per cent,Germany’s DAX by 0.79 per cent and the UK’s FTSE by 0.71 per cent.

US stocks index futures also were trading weak as the Federal Open Market Committee is expected to release its statement on Wednesday following a two-day policy meeting on interest rates in the US.

Commenting on the Indian markets,Kishor P Ostwal,CMD,CNI Research Ltd. said,”Yesterday we made a strong closing and today made a weak closing…Nifty support still valid till 5630 and resistance at 5780-5800.”

Among Sensex constituents,Jindal Steel was the top loser with a fall of 2.43 per cent,followed by Hero MotoCorp (1.9 pc),Hindalco (1.56 pc),Infosys (1.42 pc),ITC (1.29 pc),Gail India (1.05 pc),Tata Power (1.04 pc) and BHEL (1.03 pc).

Among major BSE indices,the BSE-CD dropped by 0.98 per cent,BSE-IT by 0.88 per cent,BSE-Metal by 0.84 per cent and BSE-FMCG by 0.84 per cent.

The overall market breadth continued to be negative as 1,490 stocks closed lower,while 1,308 scrips settled higher. Total turnover rose to Rs 2,108.16 crore from Rs 1,817.03 crore yesterday.

Meanwhile,Foreign Institutional Investors (FIIs) bought shares worth Rs 241.68 crore yesterday as per provisional data with stock exchanges.