Bear Hugs Dalal Street

The sensex has fallen close to 600 points in 3 trading sessions. Infrastructure & Real Estate stocks are the worst hit. Brokers attribute the correction due to the rise in interest rates and also their is a widespread speculation that some of the concessions given to Infrastructure sector linked to lands banks will be withdrawn in the current budget.

Capital Goods and Cement stocks are also amongst the top losers. Auto stock is driving in the reveres gear as well. FII interest in the market has been lackluster but they have been selectively picking stocks.

The IPO market is also expected to cool down and markets are expected to be volatile until the budget.