Sensex closes 162 points down

After overnight brief respite, the BSE benchmark sensex continued its downslide, tumbling by over 162 points due to fresh selling pressure mainly in realty, power, banking, PSU and CG sectors on likely downgradation by the S&P. Global credit ratings agency Standard & Poor’s today said there is a “one in three” change of a downgrade of the country’s sovereign rating to junk status in the next two years, despite slew of reform measures carried out by the government in the past coupl of weeks. Key benchmark indices, Sensex and Nifty, declined in the early trade as investors fretted about the world’s economic prospects after the International Monetary Fund downgraded its global growth estimates for 2012 and 2013. Selling was so strong that 12 out of 13 sectoral indices closed in the red between 0.33 per cent and 4.61 per cent while only FMCG just ended in the green. Overall, 27 out of 30 sensex- based scrips finished with losses while only ITC, RIL and Hero MotoCorp settled with gains. The Bombay Stock Exchange 30-share barometer resumed remarkably lower on weak global cues and declined further after the news of S&P filtered in to settle the day at 18,631.10, showing a fall of 162.26 points or 0.86 per cent. From gulftoday