Mumbai June 27 (IANS) The benchmark equity index BSE Sensex on Tuesday slipped below the crucial 31 000-point mark after 21 consecutive sessions as investors booked profits prior to the Goods and Services Tax (GST) implementation.
Besides weak European markets and heavy selling pressure in banking capital goods and automobile stocks spooked investors.
The 30-scrip Sensitive Index (Sensex) of the BSE closed at 30 958.25 points -- down 179.96 points or 0.58 per cent from its previous close at 31 138.21 points.
The wider Nifty of the National Stock Exchange (NSE) fell by 63.55 points or 0.66 per cent to close at 9 511.40 points.
The broader market indices underperformed the Sensex. The S&P BSE mid-cap index fell by 0.79 per cent and the small-cap index by 1.57 per cent.
Markets corrected sharply on Tuesday to end with losses for the fifth consecutive session though ending off the session lows. Negative cues from European markets (CAC and DAX) spoiled investors sentiments Deepak Jasani Head - Retail Research HDFC Securities told IANS.
Geo-political tensions also weighed on market sentiment amid reports suggesting that China accused Indian troops of crossing the boundary in the Sikkim region and demanded their immediate withdrawal while asserting that it stopped the Indian pilgrims who enter Tibet via the Himalayan pass of Nathu La for safety reasons in view of the border issue Jasani added.
On the currency front the rupee remained flat at 64.53 to a US dollar from last week s close.
In investments provisional data with the exchanges showed that foreign institutional investors (FIIs) purchased stocks worth Rs 292.11 crore while domestic institutional investors (DIIs) divested scrips worth Rs 148.54 crore.
Equity indices ended in red amid profit booking. Banking sector stocks came under pressure as the Reserve Bank of India sought higher provisioning against insolvency. This is negative for the PSU banks as it will push up their credit cost said Dhruv Desai Director and Chief Operating Officer of Tradebulls.
Sector-wise the S&P BSE banking index declined by 384.67 points the capital goods index by 208.05 points and the automobile index by 149.46 points.
On the other hand the S&P BSE consumer durables index was up by 52.33 points and the telecom index by 15.05 points.
Major Sensex gainers on Wednesday were: Bharti Airtel up 1.61 per cent at Rs 371.80; ONGC up 1.23 per cent at Rs 159.955; Hero MotoCorp up 0.97 per cent at Rs 3 695.95; Tata Steel up 0.60 per cent at Rs 510.45; and Adani Ports up 0.56 per cent at Rs 367.25.
Major Sensex losers were: State Bank of India down 3.27 per cent at Rs 279.40; Axis Bank down 2.34 per cent at Rs 492.80; Infosys down 1.80 per cent at Rs 926.35; Asian Paints down 1.73 at Rs 1 134; and Bajaj Auto down 1.61 per cent at Rs 2 779.20.
--IANS
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GST spooks investors, Sensex closes below 31,000-mark (Roundup)
