Indian markets which were trading up at 2.30 pm, drifted lower as reports of earthquake in parts of India and Indonesia surfaced. In fact, companies like Tata Power which have operations in Indonesia (acquired coal blocks) immediately lost ground. The BSE Sensex closed the day lower by 44 points at 17,199 points, while the NSE Nifty closed the day lower by 16 points at 5226 points.
Worries emerged that an earthquake which triggered a Tsunami in Indonesia and was slated to hit the Indian coasts might impact economic activity in India. Among the major losers in today's trade were ACC, Gujarat Ambuja Cements and Jaiprakash Associates.
All of these stocks have cement operations and the they drifted lower in trade as a cement cartelisation report was expected shortly.
The Kingfisher Airlines stock rallied sharply and gained almost 6.5%, on reports that the Reliance Group might pick a stake in the company.
Markets will now await to see the extent of the damage that the Tsunami has done and might react to the same.