Bourses decline for 2nd day amid growing rate hike fears and weak global markets

Mumbai: Benchmark BSE Sensex and Nifty ended lower on Wednesday after losses in rate-sensitive banking and auto shares amid weak global market trends as higher interest rate and recession fears hit investor sentiment.

Extending losses for a second straight day, the 30-share Sensex declined by 168.08 points or 0.28 per cent to settle at 59,028.91. During the day, it fell 474.1 points or 0.80 per cent to 58,722.89. The broader NSE Nifty dipped 31.20 points or 0.18 per cent to 17,624.40.

Analysts said growing worries over higher interest rates after positive US data hit the market sentiment.

From the Sensex pack, IndusInd Bank fell the most by 1.69 per cent. Mahindra & Mahindra declined 1.32 per cent, Maruti by 1.15 per cent, Bharti Airtel by 1.08 per cent.

State Bank of India fell 0.95 per cent while Tata Steel, ICICI Bank and HDFC also declined.

Gains in IT and pharma stocks restricted losses in the indices. UltraTech Cement rose the most by 4.13 per cent while Tata Consultancy Services, Sun Pharma, Wipro and Bajaj Finance advanced.

Among the BSE sectoral indices, auto fell 1.12 per cent, power declined 0.91 per cent, Utilities (0.75 per cent) and bank (0.51 per cent).

Basic Materials, healthcare, industrials, telecom and consumer durables were among the gainers.

The rupee declined by 13 paise to close at 79.95 against the US dollar on Wednesday tracking a strong dollar in overseas markets and losses in the domestic equities.