Sensex closes 256 points down, SBI gains

Mumbai: The NSE Nifty and BSE Sensex remained lower by more than 1 per cent, though it showed somewhat recovery from day's low. Infosys' first quarter numbers and FY13 guidance dampened the mood of investors on Thursday.

Software services exporter crashed more than 8 per cent as the company's profit for the quarter ended June 2012 declined by 1.16 per cent quarter-on-quarter to Rs 2,289 crore while analysts on average had expected around Rs 2,448 crore. Even the guidance of at least 5 per cent growth in revenues for FY13 (in dollar terms) to $7.343 billion was quite bad as analysts had expected around 6-8 per cent growth and company itself had forecasted around 8-10 per cent.

Its rival TCS fell just 1.5 per cent ahead of numbers on Thursday after market hours and Wipro lost 3.5 per cent.

Infosys\' first quarter numbers and FY13 guidance dampened the mood of investors on Thursday.

The BSE benchmark closed 256.59 points or 1.47 per cent to 17232.55, but the European markets helped the Indian benchmark recover from day's low of 18,171. Meanwhile, the NSE benchmark lost 71.05 points or 1.34 and closed at 5235.25.

Country's largest private sector lenders ICICI Bank and HDFC Bank were down more than 1 per cent whereas their rival State Bank of India outperformed, rising 0.5 per cent.

All eyes are now on the May inflation data expected on July 16, as it is crucial to the Reserve Bank of India's monetary policy review. Economists feel that the central bank is unlikely to move key rates in its monetary policy review on July 31 even though industrial product output grew marginally higher at 2.4 per cent in May from the month ago period.

Top telecom operator Bharti Airtel plunged 3 per cent. Engineering and construction major by sales Larsen & Toubro and top commercial vehicle maker Tata Motors dropped 1.4 per cent and 1.76 per cent, respectively.

Reliance Industries, India's most valued stock was down 0.7 per cent while state-owned oil & gas producer ONGC rose 1 per cent.

Gas transportation services provider GAIL too gained 1 per cent. HUL, Hero Motocorp and Cipla too were on buyers' radar, rising 0.4 per cent.

On the global front, Britain's FTSE, Germany's DAX and France's CAC were down 0.4-1 per cent.

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