kavi ~~ just a FYI! on general INDIA market:
India's Benchmark Index Drops 2.5 Percent
Tuesday June 6, 7:33 am ET
India's Benchmark Index Drops 2.5 Percent in Intraday Trading
BOMBAY, India (AP) -- Indian shares tumbled Tuesday, with the benchmark index dropping 2.5 percent and slipping below the 10,000 mark for the first time in 3 1/2 months as investors reacted to declines in global markets and a hike in domestic fuel prices.
The 30-company benchmark index of the Bombay Stock Exchange, the Sensex, fell 256 points to 9,957 points, its lowest close since Feb. 17, but up from an intraday low of 9,885. On the rival National Stock Exchange, the 50-share S&P Nifty index slipped 2.6 percent to 2,937.
The drop follows a 2.3 decline in the Sensex on Monday and continues the market's slide over the last four weeks. Since reaching a record on May 10, the index has now plunged 21 percent.
Investors were edgy due to steep drops on Wall Street on Monday and in other Asian markets like Japan.
The decline in the Sensex "is in sympathy with global markets and also because we had closed weak yesterday," said Rajesh Jain, the chief executive of Bombay-based Pranav Securities.
Investors were also reportedly spooked by a hike in government-controlled fuel prices that Indian officials announced Monday evening, after the markets had closed.
All but two of the 30 shares tracked by the Sensex were down. Oil & Natural Gas Corp. fell 5.6 percent and pharmaceutical major Ranbaxy was down 5.5 percent. Reliance Industries Ltd. slipped 2 percent.
Before their recent tumble, Indian stock prices had soared over the past year, driven by foreign investors eager to seize opportunities in one of the world's fastest growing economies, currently expanding at an 8 percent pace.
But the market has tumbled amid concerns that higher U.S. interest rates could spur a global slowdown.
Also, many stocks have simply risen too quickly over too short a period of time, and some analysts say the recent decline is a healthy correction.
Many predicted the market will remain volatile and fall further.
"Correction in a bull phase ... will not end in a matter of weeks. It could take two, three months or more," said investment strategist Gul Tekchandani.
Foreign funds have pulled out more than $2.7 billion from the Indian stock market in the last three weeks, contributing to the recent plunge.
It's expected to take time for foreign investors to return to the Indian market, despite the tremendous lure of its booming economy. And when investors do return, analysts doubt there would be the sort of rush as was seen in the past year, when foreign funds pumped a record $12.3 billion into Indian shares, fueling the market's rise.
