Sensex loses 345 points amid growth concerns

Sensex loses 345 points amid growth concerns

Sensex loses 345 points  amid growth concerns

Consequently, the market fell for the third consecutive trading with index heavyweight Reliance Industries (RIL) declining by more than three per cent, while capital goods stocks extended recent losses on worries, new order flows will be hit adversely in a slowing economy, with L&T and Bhel hitting 52 week lows. Interest rate sensitive banking, auto and realty stocks declined after RBI kept cash reserve ratio (CRR) and short-term lending rates steady after mid-quarter monetary policy review, on Friday.

Sensex, the barometer index of BSE, fell below the psychological 16,000 level, down 345 points to close at 15,491. The S&P CNX Nifty was down 95 points or 2 per cent to 4,652, its lowest closing level since November 3, 2009.

Foreign institutional investors (FIIs) sold shares worth Rs 323.28 crore on Thursday and total FII outflow was at Rs 1,701 crore in five trading sessions from December 9 to 15, 2011. The BSE Mid-Cap index fell 1.72 per cent and the BSE Small-Cap index shed 1.6 per cent, both have outperformed the Sensex. The market breadth, indicating the overall health of the market, was weak with as many as 1,932 shares on BSE fell and 826 shares rose while a total of 120 shares were unchanged.

Meanwhile, during the day, European shares edged higher after positive data in US on Thursday. Key benchmark indices in Germany, UK and France rose by between 0.02 to 0.9 per cent. Asian shares edged higher as signs of strength in the US economy temporarily broke through the gloom over the European debt crisis, that had driven a sell-off in riskier assets, over the past three days. Key benchmark indices in China, Hong Kong, Indonesia, Japan, Taiwan, Singapore and South Korea rose by between 0.29 to 2.02 per cent.

DH Newsletter Privacy Policy Get top news in your inbox daily
Comments (+)