IT, banking stocks battered amid global economic worries

The BSE's IT index was down nearly 6 per cent, with a heavy plunge in the share prices of Infosys, TCS, Wipro, Tech Mahindra and HCL Tech

PTI | August 19, 2011



Companies from the information technology and banking sectors were battered heavily in the stock market this morning amid deepening worries about a slowdown of the global economy and a possible return of the recession in the US.

The BSE's IT index was down nearly 6 per cent, with a heavy plunge in the share prices of Infosys, TCS, Wipro, Tech Mahindra and HCL Tech. The banking index was also down over 2 per cent in early morning trade. Companies like ICICI Bank, HDFC Bank and SBI saw their stocks plummet in opening trade.

The stocks fell on concerns that Indian IT companies were heavily exposed to the US and other European markets for their revenues and that Indian banks might also face the collateral damage if a financial crisis returns to haunt the global economy.

Infosys, ICICI Bank, HDFC Bank, TCS and Wipro were among the biggest losers on the benchmark Sensex, which fell by over 350 points within minutes of the market opening.

The Indian markets plunged this morning amid weak cues from other Asian markets after a sharp fall in the US last night. European markets had also fallen sharply yesterday.

US-listed Indian companies also saw a heavy sell-off on the American bourses yesterday. Out of these, ICICI Bank ADRs (American Depository Receipts) fell by over 8 per cent, HDFC Bank was down over 4.5 per cent, Infosys plunged over 11 per cent and Wipro fell by more than 8 per cent.

Comments

 

Other News

Who checks the books?

I read about the news about the Coimbatore library over coffee this morning. On the face of it, the headline was about a political ‘war’ between the DMK and TVK. But what stayed with me was something much more important than the blame game behind what had transpired. A writer walking through

Development paradox: Falling poverty miracle and an inequality problem

India’s reduction in poverty over the past decade is a development achievement of considerable significance. The World Bank’s April 2026 ‘India Development Update’ estimates that the share of Indians living below the international extreme-poverty line of $3.00 per person per day i

In Arunachal, a river we call mother

In Arunachal Pradesh, the Siang is not just a river. For many of us, especially the Adi people, it is part of our family. Our grandparents fished in it. Children learned to swim in it. Our farms drink from it. When someone says a huge dam will be built on it, we do not hear the word "project".

A new retelling of the Mahabharata delves into key moments

In a time when every decision carries consequences and questions of ambition, power, loyalty, identity and moral choice continue to shape our lives, Dr. Arun Krishnan’s new book, ‘Mahakshana’ (Penguin India) offers a strikingly relevant retelling of the Mahabharata.  

Cabinet approves viability gap funding to develop grid-scale energy storage systems

The Union Cabinet, chaired by PM Narendra Modi, has approved the Viability Gap Funding (VGF) Scheme for Development of Grid-Scale Energy Storage Systems, with a total financial support of Rs.14,500 crore for the period FY 2026-27 to FY 2030-31. The scheme aims to support the development o

Cabinet creates a pathway to absorb Agniveers in Defence Forces

An objective assessment in terms of organisational requirements and operational efficiency has brought out the outstanding performance of Agniveers in terms of skills, motivation levels, physical fitness and technological prowess. As envisaged earlier, based on merit, 25% of Agniveers will be offered reg

Upcoming Conferences



-->

Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter