By IANS,
Mumbai : Though benchmark indices touched a 14-month high this week, continued selling pulled them down 3 percent from their last weekly close, as the government voiced concerns that the revival of the economy may be hampered due to deficient rains.
Bourses across the world touched highs not seen in 9-10 months, mainly backed by improved corporate earnings and a positive job market report in the US.
But then, the 30-share sensitive index (Sensex) of the Bombay Stock Exchange (BSE) fell 510.07 points or 3.26 percent over previous Friday’s close and ended trade at 15,160.24 points.
The broader S&P CNX Nifty of the National Stock Exchange (NSE) followed the Sensex, moving down 3.34 percent from its last weekly close to end at 4,481.4 points.
Both Sensex and Nifty had touched a 14-month high Monday.
Mid-sized companies in terms of market capitalisation did no better with the BSE’s midcap index closing 2.47 percent lower. However, smaller companies lost less with the BSE smallcap index going down 0.19 percent.
Data with markets watchdog Securities and Exchange Board of India (SEBI) showed that foreign funds were net buyers during the week, having bought scrips worth $154 million.
Indian equities started the week with a bang, with both indices rising smartly. While the Sensex ended Monday with gains of 253.92 points or 1.62 percent at 15,924.23 points, the Nifty moved up a similar 1.6 percent to 4,711.4 points.
Consolidation set in Tuesday, with the bulls stalling their buys and booking profits. The Sensex ended trade on a low, moving down 93.25 points or 0.59 percent to 15,830.98 points. The Nifty, too, shut shop in the red at 4,680.5 points, down 0.66 percent.
Investors started cautious Wednesday, with both Sensex and Nifty languishing in the red for most of the day. It, however, recovered to shoot up into the green, an hour before close, only to give up sizeable gains and end slightly up.
The Sensex shut shop at 15,903.83 points, up 72.85 points or 0.46 percent, while the Nifty closed at 4,694.15 points, 0.29 percent higher.
Thursday saw some heavy selling in frontline stocks in the last trading hour, pulling down the Sensex 389.8 points or 2.45 percent to 15,514.03 points.
Similarly the Nifty shut shop in the red at 4,585.5 points, down 2.31 percent.
The selling continued Friday, as the Sensex closed down 353.79 points or 2.28 percent at 15,160.24 points. The Nifty shut shop in the red at 4,481.4 points, down 2.27 percent.
The top weekly gainers on the Sensex included Reliance Industries (up 2.2 percent), Wipro (up 2 percent) and Hindalco (up 1 percent).
Among top losers were Maruti Suzuki (down 8.6 percent), ITC (down 7.9 percent), Hero Honda (down 7.9 percent), Hindustan Unilever (down 7.5 percent), and DLF (down 7.3 percent).
In other Asian markets, the benchmark index of the Tokyo Stock Exchange touched a 10-month high this week, while European shares rose to a nine-month high Friday.
In the US, stocks rose as the government reported that job losses in July were far less than expected. Key indices like the Dow Jones Industrial Average and the Standard and Poor’s 500 closed near their respective 2009-highs Friday.