Sell-off in equities intensified on Tuesday after International Energy Agency cautioned about tight oil supply in the medium term. Interest sensitive stocks in realty and banking space were hammered down badly.
“Structural demand growth in developing countries and ongoing supply constraints continue to paint a tight market picture over the medium term,” said IEA in its 2008 medium-term market report. “There are significant downward revisions for both non-OPEC supplies and OPEC capacity estimates from last year’s medium-term oil market report,” it added.
Bombay Stock Exchange’s Sensex closed at day’s low of 12,904.09, down 558 points or 4.14 per cent. The 30-share index touched a high of 13,613.82. National Stock Exchange’s Nifty ended at 3,884.60 down 156 points. The broader index touched a high of 4,075.40 and low of 3,878.20.
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