Indian Market opened lower inline with other Asian and US market. Stiff fall  in US market last night made a ground of fall for Indian Markets. It was down on concern over Economy. Today when Indian and other Asian market when opened, it was expected a deep fall, market plunged 4%  on opening trade. After a massive correction from top of 6300 on Nifty it touched a 2 year low( 24th July 2006)  of 2920 in today trade. In noon trade, government issued a statement on short positon and the news is personally given by  Finance Minister, P. Chidambarams, He stated , on short positions could not help the market and indices continued their southern journey on the back of negative global cues. A sharp but short-lived recovery was seen after the FMs statement that SEBI has asked FIIs to reverse short positions on borrowed shares.  Sensex closed at 9,771.70, down 398.20 points or 3.92%, after touching a high of 10,260.55 and a low of 9,681.28 making the lowest close since 16th June 2006. The broad-based NSE Nifty declined 122.00 points, or 3.98% at 2,943.15 after hitting a high of 3,085.10 and a low of 2,917.15, the lowest close since 24th July 2006. BSE Midcap and Smallcap index shed 3.20% and 3.55% respectively

Inflation for the week ended Oct. 11 stood at 11.07% versus 11.44% in earlier week. Rupee touched a fresh all time low of 49.86 against the dollar.

All BSE sectoral indices ended in red except Consumer Durable and Capital Goods indices, which gained 1% and 0.2% respectively. Metal and Auto indices were the worst hit, down 11% and 7.2% respectively. Grasim and BHEL were the top gainers among the sensex stocks, up 4.7% and 2.7% respectively while Tata Steel and Tata Motors were down the most, losing 14.8% and 14.6% respectively.

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