Market slips in early trade

Key benchmark indices continued their downward journey in openin
trade. The market opened higher but soon dipped in red on weak
Asian markets. The US lawmakers agreeing on a $700 billion
bank-rescue package and the House of Representatives approving the
nuclear deal with India, over the weekend failed to boost the
investor sentiments. The BSE Sensex fell below 13,000 mark. IT and
realty stocks edged lower.

Instability in the banking industry continued to weigh on the
investors sentiments in Asia with the Belgian, Dutch and Luxembourg
governments forced to rescue financial firm Fortis over the
weekend. In addition, reports suggest the British government will
take over mortgage lender Bradford & Bingley. Most Asian markets
were trading lower today, 29 September 2008. Hong Kong's Hang Seng,
Japan's Nikkei, Singapore's Straits Times, South Korea's Seoul
Composite fell between 0.47% to 2.12%.

Democratic congressional leaders supported on Sunday, 28 September
2008, a massive financial rescue plan proposed by the Bush
administration, releasing a draft text trumpeting taxpayer
guarantees and caps on executive compensation. The bill will be
introduced in the House of Representatives today, 29 September 2008
and then head to the Senate.




Meanwhile, the Indo-US nuclear deal moved into the last lap
clearing a major hurdle when the House of Representatives approved
a legislation on it that will now go to the Senate before the two
countries can implement the civil nuclear agreement.

At 10:19 IST, the BSE 30-share Sensex was down 179.82 points or
1.37% to 12,915.81. The index shed 197.38 points at the day's low
of 12,904.80, hit in early trade. The Sensex edged up 11.35 points
at day's high of 13,113.53, hit at the onset of the trading
session.

The S&P CNX Nifty was down 45.50 points or 1.14% to 3,939.75.

The BSE Mid-Cap index was down 1.4% at 4,871.82 and the BSE
Small-Cap index was down 1.19% at 5,792.14.

The market breadth was weak on BSE with 380 shares advancing as
compared to 1,019 that declined. 36 shares remained unchanged.

Rate sensitive realty stocks declined. Indiabulls Real Estate (down
4.79% to Rs 176.35), Unitech (down 3.6% to Rs 107.05) and DLF (down
3.9% to Rs 354.90) edged lower.

IT stocks fell. Satyam Computer Services (down 2.47% to Rs 313.80),
Tata Consultancy Services (down 2.42% to Rs 660), Infosys (down
3.02% to Rs 1,404) and Wipro (down 0.81% to Rs 340.95) edged lower.

India's fifth-largest software exporter by sales HCL Technologies
fell 7.42% to Rs 197.15. HCL Technologies fell 7.42% to Rs 197.15.
On Friday, 26 September 2008, launched an all-cash offer for
UK-based SAP implementation consultancy Axon. The offer trumped an
earlier bid by Infosys, India's second largest IT services provider
by sales.

HCL's all-cash offer at 650 pence a share is 8.3% higher than the
600-pence offer by Infosys, which has promised a further
announcement 'in due course'. Reports suggest that Infosys is
expected to disclose its future plans on Axon on Monday, 29
September 2008.




Tata Motors (down 3.59% to Rs 360), Sterlite Industries (down 3.03%
to Rs 433.65), State Bank of India (down 3.08% to Rs 1,391), ICICI
Bank (down 2.85% to Rs 545.25) edged lower from the Sensex pack.

Grasim Industries (up 0.54% to Rs 1,770), ITC (up 0.49% to Rs
193.20), Bharat Heavy Electricals (up 0.47% to Rs 1,557.90), ONGC
(up 0.18% to Rs 1,037) edged higher from the Sensex pack.

Dr. Reddy's Laboratories declined 0.71% to Rs 512. The company has
received final approval from the US Food and Drug Administration
for nabumetone tablets. Nabumetone is a non-steroidal
anti-inflammatory drug used to treat arthritis related pain.

Suzlon Energy fell 0.46% to Rs 173.95. The company said today, 29
September 2008, IDFC Private Equity would buy 17.1% in subsidiary
SE Forge for Rs 400 crore. SE Forge, which specialises in
large-scale foundry and forging materials, is expanding capacity at
its plants in Coimbatore and Vadodara to cater to the growing
demand in the wind energy sector. Suzlon will continue to hold the
remaining stake in SE Forge.

Dynamatic Technologies fell 1.63% to Rs 1,071. The company has
acquired a 12 megawatt wind farm at Coimbatore from Tamilnadu
Petroproducts. This acquisition will enable Dynamatic to achieve
85% reduction in monthly energy costs at its Chennai complex and
combat energy-price inflation in future, the company said.




DS Kulkarni Developers rose 1.09% to Rs 64.90. The board of DS
Kulkarni Developers has approved investment in DSK Global up to the
tune of Rs 3 crore so as to make it a subsidiary of the company.

Avanti Feeds rose 3.99% to Rs 30. The company has announced that
its board will meet on 4 October 2008 to consider and approve issue
of equity shares on preferential basis to Thai Union Frozen
Products Public Company and the promoters through postal ballot.

Nestle India fell 0.91% to Rs 1,625. The company has unveiled its
capital expenditure of Rs 600 crore in 2009, which is double the Rs
300 crore that it is investing in the current year. The investment
would go in new research and development, advertising and capacity
building, Nestle's chairman and managing director, Martial Rolland,
said while addressing a press conference on Friday, 26 September
2008.

US light crude for November delivery fell $1.09 to $105.85 a barrel
today, 29 September 2008 pressured by gains in the US dollar.