Sensex sheds 863 points this week

Written by Markets Bureau | Mumbai, May 9 | Updated: May 10 2008, 06:03am hrs
After posting four consecutive weekly gains, key Indian measures closed the first week of May on a negative note with the benchmark Sensex of the Bombay Stock Exchange (BSE) losing 863.05 points or 4.90% and the broader S&P CNX Nifty of the National Stock Exchange (NSE) sheding 245.6 points or 4.6% during the week.

As on Friday, weak cues from the global markets coupled with rising inflation levels on the local shores led the benchmark indices to end deep in red with the Sensex closing below the psychological level of 17K at 16,737.07, down 2.01% or 343.58 points after hitting an intra day high and low of 17,125.95 and 16,678.94, respectively, while the broader S&P CNX Nifty ended the day at 4,982.60, down 1.95% or 99.1 points.

Inflation for the week ended April 26 jumped to 7.61% as against 7.57% in the previous week, led the interest sensitive sectors such as Banking and Realty to end the day in the negative terrain. Both the sectoral indices at the BSE lost around 2.8% each. However rumors that government may ban export of petroleum products from private refinery brought the BSE Oil & Gas index down by 4.71% on Friday. The heavyweight constituent of the index, the Reliance Industries Ltd (RIL), which has 56% weightage in the index lost 5.19% (Rs 138.50) to end the day at Rs 2,527.65. Amongst all the sectoral indices only BSE FMCG ended the day with moderate gains.

Selling pressure across the board led the overall markets breadth to remain negative on Friday and at the BSE only 704 shares ended the day in the positive while around 2,114 shares declined and 185 shares remained unchanged for the day.