Sensex falls 4.29 pc on weak global cues
The 30-share Sensex moves widely in a range of 19,971.44 and 18,182.83 before ending the week at 18,852.87.business Updated: Nov 24, 2007 12:31 IST
Global factors weighed on the Indian bourses, which fell 4.29 per cent in the week under review due to negative FII activity and a cautious approach by investors.
In the week to November 24, Bombay Stock Exchange (BSE) 30-share Sensex moved widely in a range of 19,971.44 and 18,182.83 before ending the week at 18,852.87, a net loss of 845.49 points from last weekend's close of 19,698.36.
The broader S&P CNX Nifty of the National Stock Exchange (NSE) tumbled by 298.25 points or 5 per cent to close the week at 5,608.60 from previous weekend's close of 5,906.85.
Global stocks received a severe beating on worries of widening US mortgage losses after a forecast of more write-downs by the Citigroup resulting in a downgrade of its share price on Wall Street. This sent negative signals to the Indian markets, brokers said.
The US Federal Reserve's concerns about economic growth, which is expected to slow in 2008 and skyrocketing crude prices were also seen as negative factors.
The Sensex registered the third biggest fall of 678.18 points on November 21 on reports of likely hike in securities transaction tax (STT).
Foreign Institutional Investors (FIIs) were heavy net sellers throughout. They pull out a massive Rs 3,321 crore in equity in the initial three days of the week, while selling off shares worth Rs 5,672 crore in derivatives.
FIIs are net sellers to the tune of 3,839.60 crore so far in November.