Sensex ends 62 points lower, RIL down by 1.96%
The BSE benchmark Sensex on Wednesday closed 62 points lower due to profit-booking ahead of long week-end amid reports that India's manufacturing sector in September expanded at the slowest pace in nine months.business Updated: Oct 01, 2014 17:20 IST
The BSE benchmark Sensex on Wednesday closed 62 points lower due to profit-booking ahead of long week-end amid reports that India's manufacturing sector in September expanded at the slowest pace in nine months.
The 30-share Sensex after moving in a tight range for the major part of the session ended 62.52 points, or 0.23%, lower at 26,567.99.
The 50-share NSE Nifty moved down by 19.25 points, or 0.24%, to finish at 7,945.55.
"Profit-booking and cautious approach by participants ahead of a long week-end and slowdown in September manufacturing weakened market sentiments", said Manoj Choraria, a Delhi-based broker.
Stock markets will now reopen for trading on Tuesday after a long week-end.
According to an HSBC survey, the headline HSBC India Purchasing Managers' Index (PMI) -- a composite gauge designed to give a single-figure snapshot of manufacturing business conditions -- dropped from 52.4 in August to 51.0 in September, the slowest pace of growth since December, 2013.
Brokers said in view of long holidays ahead investors were seen refraining from enlarging their positions, they even reduced positions.
Meanwhile, the provisional data released by the stock exchanges showed that foreign portfolio investors (FPIs) sold shares worth a net Rs 485.93 crore on Tuesday.
Stocks of oil and gas companies came under selling pressure, tracking lower global crude oil prices which dropped to two-year low.
RIL fell by 1.96%, ONGC by 1.58% and GAIL 2.27%, dragging down the benchmark Sensex.
Bucking the trend, IT stocks led by Infosys, Tata Consultancy Services and Wipro rose, after rupee fell to seven-month low against the dollar.
Nearly 60% revenues of IT companies comes in dollar.
Stocks of Hero MotoCorp, the country's largest two-wheeler maker, climbed 1.24% after company reported over 30% jump in its sales in September to six lakh units, riding on strong festive season demand.
In 30-share Sensex, 20 stocks ended in the negative zone, 9 settled higher, while Tata Motors closed flat.
Sectorwise, the Oil & Gas sector index suffered the most by losing 1.55%, followed by FMCG index by 1.26%, Consumer Durables index 0.85%, Banking index closed 0.44% lower.