Equity markets slump for second successive week; down over 2 per cent
Mumbai: Declining for the second week in arow, both the benchmark indices -- BSE Sensex and NSE Nifty -- ended with losses of over 2 per cent due to intense selling pressure. The week saw market momentum veering on global cues and was further agonized by domestic stumbling blocks. Lingering uncertainty over the passage of GST Bill in the ongoing winter session of Parliament was further squeezed by sharp sell-off across global markets ahead of the US Federal Reserve policy meet next week amid commodity prices slide.
Markets witnessed just a day of gains straddled by seven days of oversold position amid hectic short-covering and value-buying in fundamentally strong shares. However, the joy was short-lived as uneasiness among investors, multiplied by continued foreign fund outflows and weakening rupee against the dollar, added to selling pressure.
The Sensex resumed higher at 25,746.03 and hovered between a high of 25,785.53 and a low of 24,930.43 before finishing the week at 25,044.43, showing a fall of 593.68 points, or 2.32 per cent. The index has lost 1,026.74 points, or 3.93 per cent, in two weeks. The 50-share NSE Nifty also dipped by 171.45 points, or 2.20 per cent, to 7,610.45.
The gauge has lost 332.25 points, or 4.18 per cent, in two weeks. Barring the IT sector which traded somewhat positive, rate-sensitive sectors like banks, auto and realty reeled under maximum selling pressure. Other sectors that bore the brunt included metals, PSUs, capital goods, oil & gas, power, FMCG, healthcare and consumer durables.
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