ICICI Bank Down Nearly 5% at Rs 845.45 As Sensex Goes Down by 184 Points

Due to sustained selling in several front line stocks, the market remains deep down in the red this morning. Concerns over a possible slowdown in the pace of global economic recovery due to the debt crisis in Europe and a lack of positive news appear to have prompted investors to go on a selling spree this morning.

The Sensex is down 183.70 points or 1.09% at 16,692.06, while the Nifty is down with a loss of 59.55 points or 1.18% at 5006.65.

Bank and metal stocks have declined sharply. Realty, automobile and oil stocks are also seen struggling for support. Select information technology and pharma stocks are trading firm. Midcap and smallcap stocks are mostly subdued so far.

ICICI Bank is down nearly 5% at Rs 845.45. The stock is down following the board giving an in-principle approval for the merger of Bank of Rajasthan with ICICI Bank. Meanwhile, shares of Bank of Rajasthan hit 20% upper circuit on a favourable swap ratio for the merger. The swap ratio for the merger is set at 25 shares of ICICI Bank for every 118 shares held in Bank of Rajasthan.

Bharti Airtel, Sterlite Industries, Tata Motors, Reliance Communications and DLF are down by 2% - 3.5%. Jaiprakash Associates, Tata Steel, Wipro, HDFC Bank, Mahindra & Mahindra, HDFC, Tata Consultancy Services, Hindustan Unilever, Reliance Industries, BHEL and ONGC are trading lower by 1% - 1.75%.

State Bank of India, ITC, Grasim Industries, Reliance Infrastructure, Cipla, Tata Power and Larsen & Toubro are also trading weak.

MTNL is down nearly 5% at Rs 57.30. Aban Offshore, Idea Cellular, JSW Steel, Gujarat NRE Coke, Unitech, Shriram Transport Corporation, Cairn India, Mundra Port, Jain Irrigation Systems, JP Hydropower, Bhushan Steel, Hindustan Zinc and IVRCL Infrastructure are also down with sharp losses.

Hero Honda and Infosys Technologies have gained over half a percent at Rs 1850 and rs 2637 respectively. ACC, NTPC and Cipla, the other gainers in the Sensex, are up marginally.

Gujarat Minerals, Reliance Natural Resources, Piramal Healthcare, MMTC, Federal Bank, India Infoline, Exide Industries, India Bulls Real Estate, Cadila Healthcare, Bajaj Holdings, Union Bank of India, Reliance Power and Bank of Baroda are up with sharp to moderate gains.