Sensex posts biggest single-day fall in 6 weeks, tanks 310 pts 

Mumbai: Equities on BSE and NSE remained under pressure for the second session owing to weak domestic cues. As a result, Sensex plunged 310 points to crack below 28,000, the biggest single-day fall since June 24, and Nifty losing 102.95 points after participants indulged in profit-booking mainly in oil&gas, auto and healthcare stocks. Indian markets nosedived at a time when US indices were up.

Experts attribute the steep fall on the domestic bourses to key factors such as profit booking, technical breakdown, disappointment over no rate cut and selling pressure in banking stocks. Nikkei fell 29.85 points or 0.18 percent to 16,735.12 points. Hang Seng rose 26.82 points or 0.12 percent to 22,492.43 points. FTSE-100 eased 15.33 points or 0.22 percent to 6,835.97 points. Dow Jones gained 3.76 points or 0.02 percent to 18,533.05 points.

Brokers said the domestic trading sentiment was also dampened taking cues from a lower closing in other Asian markets and a subdued opening on European bourses amid the dollar weakening against the yen after the US government figures showed a decline in productivity. Besides, global oil prices extending losses in Asian trade after industry data showed a rise in US crude stockpiles, supporting oversupply concerns, too had a negative impact on the trend. Brent crude was trading 1.16 per cent down at $44.46 per barrel.

Experts attribute the steep fall on the domestic bourses to key factors such as profit booking, technical breakdown, disappointment over no rate cut and selling pressure in banking stocks. domestic trading sentiment was also dampened taking cues from a lower closing in other Asian markets and a subdued opening on European bourses amid the dollar weakening against the yen after the US government figures showed a decline in productivity.

However, the index later slipped into a negative zone to crack below the 28,000-mark and hit a low of 27,736.62 before winding up at 27,774.88, a fall of 310.28 points or 1.10 per cent. This is the lowest closing since August 4. The broad gauge lost 97.41 points in the previous session after the RBI maintained status quo in its monetary policy review on Tuesday. Opened higher at 28,133.36, Sensex touched the day’s high of 28,143.28 following mild buying by participants in selective stocks amid sustained foreign fund inflows.

The NSE Nifty also remained under pressure and slipped below the 8,600-level by dropping 102.95 points or 1.19 per cent to close the day at 8,575.30. Intra-day, it hovered between 8,690.10 and 8,564.60. Out of the 30-share Sensex pack, 26 scrips ended lower.

Lupin remained the worst-hit, down 3.89 per cent on concerns about its earnings outlook, followed by Reliance Industries at 2.63 per cent. Others laggards included Hero MotoCorp, ICICI Bank, M&M, Maruti Suzuki, Cipla, Tata Motors, Wipro, HDFC Bank, SBI, Asian Paint, Sun Pharma and Tata Steel. Bucking the trend, Adani Ports gained the most by surging 7.93 per cent after the company reported 31 per cent jump in consolidated net profit for the quarter ended June 30. TCS and Coal India too finished higher.

Meanwhile, foreign portfolio investors (FPIs) bought shares worth a net Rs 144.15 crore yesterday, as per provisional data released by the stock exchanges. Sector-wise, the BSE oil&gas index suffered the most by falling 2.19 per cent, followed by auto 1.93 per cent, healthcare 1.70 per cent, power 1.56 per cent, consumer durables 1.55 per cent, PSU 1.40 per cent, banking 1.36 per cent and realty 1.31 per cent.

The broader markets were also lower with the BSE small-cap index ending 1.18 per down while the mid-cap shed 1.06 per cent. Elsewhere, key indexes in Asia, like Japan’s Nikkei and Shanghai Composite Index moved down by up to 0.23 per cent. In Europe, France, Germany and the UK based indexes fell by up to 0.27 per cent in their early trade. Source: PTI