Stocks extend losses; banks worst hit

Stocks drifted lower after a weak opening tracking trailing global cues. Caution ahead of the SEBI board meet also kept the market subdued. Banking stocks extended losses. Midcaps, however, edged higher.

The SEBI board is expected to review the rules regarding the issuance of participatory notes by foreign investors. The board is also expected to undertake review of securities lending and borrowing mechanism.

"The immediate support is now at 4515-4500 on the Nifty, below which, it may slide to 4500, 4470, 4445. A decisive breach of 4500 at this juncture will signal fresh weakness and below 4440, however, the downside is likely to gain fresh momentum. The outcome of meet on participatory notes is likely to turn the markets volatile so make the best of it