Sensex falls 155 points, first weekly loss in 2012

A benchmark for Indian equities markets Friday closed 155 points lower, below the 18,000-mark as selling pressure pulled down the index to its first weekly loss.

The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 18,079.01 points, closed at 17,923.57 points, 154.93 points or 0.86 percent down from its previous close at 18,078.50 points.

The Sensex has been on the down trend since the last two days.

The 50-scrip S&P CNX Nifty of the National Stock Exchange too closed lower at 5,429.3 points, down 54 points or 0.98 percent from its previous close.

Both benchmarks had rallied and posted handsome gains for seven consecutive weeks.

Broader markets were also in the red, with the BSE 500 index closing 0.88 percent lower. The BSE midcap index was down 0.64 percent while the BSE smallcap index fell 0.71 percent.

“The secondary market has been weak for the third consecutive session due to rising oil prices and profit booking,” said Sanjeev Zarbade, vice president, private client group research at Kotak Securities.

“Reversing its rising trend of past weeks, the Sensex shed 2 percent for the week. Indian equities underperformed the global ones for the week. The rally of the past two months now appear to be maturing,” he added.

As per the sectoral indices on the BSE, capital goods, realty and banking stocks were among the biggest losers. Metals and telecom scrips were on the rise.

The market breadth was negative with 1,085 stocks advancing, 1,820 declining and 123 remaining unchanged.

Prominent gainers on the 30-scrip Sensex included Sterlite Industries, up 3.17 percent at Rs.118.65; Coal India, up 1.43 percent at Rs.327.25; Bharti Airtel, up 1.17 percent at Rs.342.30 and TCS, up 0.79 percent at Rs.1,269.15.

Major losers included L&T, down 3.6 percent at Rs.1,349.90; HDFC, down 3.45 percent at Rs.676.20; DLF, down 3.18 percent at Rs.226.90 and RIL, down 2.12 percent at Rs.820.35.

Overseas funds, which have been the main catalyst for the dramatic rise in Indian equities in 2012, continued to buy.

According to data available with the Securities and Exchange Board of India (SEBI), foreign institutional investors (FIIs) bought equities worth $76.53 million Friday.

FIIs have put in $5.55 billion since the start of the year, having bought equities worth $2.03 billion in January and $3.51 billion till Feb 23.

Asian markets saw moderate gains amid worries on rising oil prices. However, there was some positive news as jobless claims fell to their lowest levels in nearly four years in the US and a business confidence indicator in Germany moved up to a seven-month high.

The Japanese Nikkei closed 0.58 percent to end at 9,647.38 points, while Hong Kong’s Hang Seng ended on a dull note at 21,406.86 points.

The Chinese Shanghai Composite index closed 1.25 percent higher at 2,439.36 points.

European markets were trading in the green.

Britain’s FTSE 100 was up 0.1 percent at 5,944 points. The German DAX was trading 0.83 percent higher at 6,866.01 points.

The French CAC 40 was trading 0.54 percent up at 3,465.95 points.