… but share markets express ire with 183-pt Sensex drop
17 July 2013 10:35 PM GMT
Rattled by the RBI's steps to tighten liquidity in a bid to curb rupee volatility, the benchmark S&P Bombay Stock Exchange (BSE) Sensex Tuesday snapped a three-day winning spree and tumbled 183 points to finish at 19,851.23, dragged lower by financial sector stocks. Bank stocks slumped on concern the Reserve Bank's latest measures would spark an interest rate increase, besides making it costlier for lenders and financial companies to raise short-term funds.
Rate-sensitive auto stocks too declined.
The 30-share Sensex opened lower at 19,788.09 and dropped to a low of 19,649.58. It recovered later to 19,890.63, before ending at 19,851.23, still a loss of 183.25 points (0.91 per cent). The index had gained 740.36 points (3.84 per cent) in the previous three days. The 50-share Nifty index on the NSE fell 1.25 per cent to 5,955.25 while the SX40 index on the MCX-SX closed 0.71 per cent lower at 11,854.7.
The decline in financial stocks was led by ICICI Bank, State Bank of India, HDFC and HDFC Bank. Apart from bank stocks, shares of realty, capital goods, consumer durable, metal, PSU and auto companies declined. Foreign institutional investors (FIIs) sold shares worth a net Rs 227.26 crore as per provisional data from the stock exchanges.
Seventeen scrips out of 30-share Sensex declined while 13 others finished higher. Among the sectoral indices, S&P BSE-Realty dropped by 5.84 per cent followed by S&P BSE-Bankex (4.83 per cent), S&P BSE-Capital Goods (2.23 per cent), S&P BSE-Metal 1.90 (per cent), S&P BSE-CD (1.13 per cent) and S&P BSE-PSU (1.02 per cent). However, the S&P BSE-FMCG rose by 1.18 per cent and S&P BSE-Oil & Gas by 0.74 per cent.
Most Asian stocks ended higher following overnight gains in US stocks as weaker-than-forecast US retail sales growth backed the view that the Federal Reserve will hold off reducing its bond-buying stimulus anytime soon.
Key benchmark indices in China, Hong Kong, Taiwan and Japan were up by 0.04 to 0.64 per cent while indices in South Korea and Singapore were down by 0.37 to 0.47 per cent.
European stock markets were trading narrowly mixed ahead of data on German economic sentiment that should show whether the country's investors are more optimistic about the future. Key benchmark indices in France and Germany and UK were down by 0.25 per cent to 0.46 per cent while UK's FTSE was quoted higher by 0.14 per cent.
Rate-sensitive auto stocks too declined.
The 30-share Sensex opened lower at 19,788.09 and dropped to a low of 19,649.58. It recovered later to 19,890.63, before ending at 19,851.23, still a loss of 183.25 points (0.91 per cent). The index had gained 740.36 points (3.84 per cent) in the previous three days. The 50-share Nifty index on the NSE fell 1.25 per cent to 5,955.25 while the SX40 index on the MCX-SX closed 0.71 per cent lower at 11,854.7.
The decline in financial stocks was led by ICICI Bank, State Bank of India, HDFC and HDFC Bank. Apart from bank stocks, shares of realty, capital goods, consumer durable, metal, PSU and auto companies declined. Foreign institutional investors (FIIs) sold shares worth a net Rs 227.26 crore as per provisional data from the stock exchanges.
Seventeen scrips out of 30-share Sensex declined while 13 others finished higher. Among the sectoral indices, S&P BSE-Realty dropped by 5.84 per cent followed by S&P BSE-Bankex (4.83 per cent), S&P BSE-Capital Goods (2.23 per cent), S&P BSE-Metal 1.90 (per cent), S&P BSE-CD (1.13 per cent) and S&P BSE-PSU (1.02 per cent). However, the S&P BSE-FMCG rose by 1.18 per cent and S&P BSE-Oil & Gas by 0.74 per cent.
Most Asian stocks ended higher following overnight gains in US stocks as weaker-than-forecast US retail sales growth backed the view that the Federal Reserve will hold off reducing its bond-buying stimulus anytime soon.
Key benchmark indices in China, Hong Kong, Taiwan and Japan were up by 0.04 to 0.64 per cent while indices in South Korea and Singapore were down by 0.37 to 0.47 per cent.
European stock markets were trading narrowly mixed ahead of data on German economic sentiment that should show whether the country's investors are more optimistic about the future. Key benchmark indices in France and Germany and UK were down by 0.25 per cent to 0.46 per cent while UK's FTSE was quoted higher by 0.14 per cent.
Next Story
