The Sensex slides down
The Indian stock index Sensex at the Bombay Stock Exchange has slumped considerably. This can be seen as a part of the ongoing global economic crisis. Though India has been able to keep itself detached from the European crisis its stock markets are constantly feeling the heat. Inflation also continues to stay relevant across the country. The Sensex fell 124 points before ending at 18,667.72. This is not being considered by binary traders as a healthy situation to trade and they are more likely to wait longer before taking any decision.
Those who suffered loses
There are a number of companies who suffered losses and led to the fall of the index. Gail incurred a loss of 2 percent, Jindal Steel of 1.6 percent, Tata Power of 1.1 percent, Hindalco of 1.78 percent and Sun Pharma incurred a loss of 1.4 percent. Besides, there are Housing Development Finance Corporation, Reliance Industries Limited and Larsen & Toubro who exhibited some losses. The BSE Midcap index fell 0.57 percent, the BSE Smallcap index fell 0.35 percent, the BSE power index slid 1.5 percent, the Metal index plunged 1.52 percent, the BSE capital Goods index fell 1.1 percent and the BSE Oil & Gas index slipped 1.18 percent. This overall slump in the market has left binary traders perplexed regarding the situation and they are not sure what is going to happen in future when the market opens.
The telecom sector
The telecom sector though a booming industry at present is not giving respite to the binary traders. Telecom stocks, due to the high demand of the services, have been favorites for binary traders. But under current situations those stocks are also proving to be uncertain and vulnerable. Especially after the government decision to charge the telecom companies with a onetime fee for all second generation airwaves they hold beyond a certain frequency the telecom companies started to be traded low. Bharti Airtel traded 0.5 percent lower at Rs.264.30 and Idea Cellular traded 0.37 percent lower at Rs.80.70.
With an uncertainty still looming on the European economy the Indian stock markets have been experiencing its ill effect for quite some time now. It is completely unknown when Europe will be able to get a ticket out of the situation and so binary traders in Indian stock markets are suffering from doubts, insecurity and hesitations which is in turn having a negative effect on the local market. As every market in this world is related to every other a rise and fall in one market can leave lasting impressions on another. This is the case with the binary trading options also. However, binary traders must keep a watch on the existing market scenario and decide their moves wisely.