10:00AM New York, 7:30PM Mumbai – Sensex fell on the weakness in mid and large cap stocks.

Stock markets declined on the weakness in large and mid cap stocks. Reliance Energy and Reliance Industries fell.

The BSE 30-share Sensex declined 2.1% or 372.33 to 17,221.74. The broader CNX S&P Nifty slipped 3.3% or 169.95 to 5,033.45.

As 2,328 shares on the BSE declined, 400 stocks advanced and 16 shares remained unchanged. Of the Sensex index, 23 stocks fell and 7 climbed.

Trading turnover on the BSE was 6,364 crore rupees as compared to 7,133 crore rupees on Wednesday and on the National Stock Exchange stood at 17,209 crore rupees.

Reliance group of stocks dominated trading. Reliance Natural Resources was the most active share on the BSE with turnover of 408 crore rupees followed by Reliance Industries, Reliance Petroleum, Reliance Energy and Reliance Capital.

The Finance Minister said there was a need to moderate capital inflows without hurting the flow of capital that stimulates the economy. The government is worried that capital flows in the country are adding stoking inflation.

Of the BSE share Reliance Energy led the decliners in the Sensex index. The country''s largest power utility in terms of net profit fell 9.3% to 1,805 rupees. National Thermal Power Corporation lost 8.8% to 204 rupees.

Reliance Industries slid 2.8% to 2,484.7 rupees.

Hindalco lost 6.7% to 150.05 rupees, Oil & Natural Gas Corporation shed 5.5% to 937 rupees, and Wipro declined 6.05% to 405 rupees.

Housing Development Finance Corporation gained 3.13% to 2,611 rupees in a volatile trading and led the gainers in the Sensex index.

Of the Sensex stocks, Satyam Computer Services added 2.01% to 401 rupees, cement maker ACC was up 1.7% to 762 rupees, and Reliance Communications increased 1.1% to 621.25 rupees.

ICICI Bank lost 1.4% to 1,135.05 rupees on reports, ICICI Securities, the investment banking and broking unit of ICICI Bank reportedly aims to raise up to $1 billion through a pre-IPO placement of shares.

State Bank, the country''s largest commercial bank surged 0.9% to 2,345 rupees.

Larsen & Toubro slipped 5.2% to 3,555 rupees despite securing orders worth 1,057 crore rupees from the Gulf region on Wednesday.

Hindustan Unilever declined 3% to 183.9 rupees after trading as high as 203 rupees.

Bharti Airtel climbed 0.6% to 852 rupees on high volume of 16.70 lakh shares. A single block of 12.72 lakh shares (or 1.272 million) was executed in the stock on BSE at 850.5 rupees.

DLF lost 2% to 905 rupees.


6:00AM New York, 6:00PM Hong Kong - Hong Kong trade deficit increased to HK$27.4 billion in December. China trade surplus rises and GDP in 2007 rose at 11.4%. Inflation remains a major threat.

Stocks in Hong Kong plummeted on a government report showing that trade deficit widened and on rising expectations that credit market turmoil will persist.