Maharashtra-Haryana Assembly Elections

Dismal IIP, sticky inflation drag Sensex 102 points down

Mumbai, PTI | Updated : 12 June 2013, 05:44 PM

Slowdown in industrial production and higher-than-expected retail inflation on Wednesday pulled benchmark S&P BSE Sensex down by 102 points to end at nearly two-month lows of 19,041.13, extending losses for second day.

Sustained selling from stocks from Foreign Institutional Investors (FIIs) also weighed on the market sentiment while recovery in the rupee value against the dollar some what supported the market to some extent, traders said.

Shares from consumer durables, metal, IT, FMCG and power sectors were at the receiving end while some of the pharma and refinery stocks attracted good buying interest.

The Bombay Stock Exchange 30-share indicator resumed lower and remained in negative terrain for the most of the day before settling 101.87 points, or 0.53 per cent, lower at 19,041.13 -- a level not seen since April 18, 2013.

On Tuesday, it had tumbled by 298.07 points or 1.5 per cent.

"Industrial production grew by a lower-than-expected 2 per cent y-o-y in April against consensus of 2.4 per cent...CPI inflation moderated at a slower-than-expected pace due to higher food and fuel inflation," Nomura said.

Out of the Sensex, 20 stocks were down led by Tata Power ending as the biggest loser of the day falling 3.03 per cent, followed by bluechips Coal India and Tata Steel, down 2.69 per cent and 2.61 per cent, respectively.

Software exporting companies stocks fell as rupee today strengthened to 57-level. Infosys fell by 2.02 per cent and TCS by 2.06 per cent.

Banking stocks declined as retail inflation number and weak rupee dashed interest rate cut hopes by RBI on June 17.

The NSE Nifty declined by 28.60 points, or 0.49 per cent, to 5,760.20. Also, MCX-SX flagship index, SX40, ended 85.75 points lower, or 0.75 per cent, at 11,281.59.

Outside benchmark indices, Tata Coffee slumped 20 per cent, Tata Teleservices (19.74 per cent), Titan Industries (13.32 per cent) on heavy selling.

"Inflation figures will be coming on Friday this week and going forward, anticipation on RBI monetary meet will be in focus to direct market trend," said Rakesh Goyal-Senior Vice President,Bonanza Portfolio.

First Published: Wednesday, June 12, 2013 05:43 PM

Related Tags:

Post Comment (+)

Maharashtra

loader

Haryana

loader