Led by DLF, real estate stocks cracked once again on Tuesday and pulled down the BSE sensex from its intra-day high. Although the sensex closed 83 points higher at 9,149, BSE's Realty Index ended 7.6% off with DLF losing a further 13% to close at its all-time low of Rs 133.
The slide in DLF came after a host of broking houses downgraded the stocks and lowered target price for the stock. The main reason for a bearish view on DLF was the company's inability to get money from DLF Assets Ltd (DAL), the company's arm that buys properties from DLF for step down sales in the market, and also the sector major's announcement that it would cut prices by 15-20% to spur demand.
The Times of India