Sensex tumbles 260 pts on geopolitical tensions, weak Re
Falling for the third straight session, the BSE benchmark Sensex on Friday plunged by 260 points to close at nearly three-week low of 25,329.14 on selling pressure sparked by escalating geopolitical tensions after US President Barack Obama authorised air strikes in Iraq.business Updated: Aug 08, 2014 17:18 IST
Falling for the third straight session, the BSE benchmark Sensex on Friday plunged by 260 points to close at nearly three-week low of 25,329.14 on selling pressure sparked by escalating geopolitical tensions after US President Barack Obama authorised air strikes in Iraq.
The rupee slumping to five-month low of 61.74 (intra-day) against the US dollar and rising global crude prices too impacted the trading sentiment.
After opening lower at 25,406.87, the 30-share Sensex dipped to 25,232.82 at one point before ending the day at 25,329.14, down 259.87 points or 1.02%, from its previous close.
The BSE barometer had lost 319 points in the previous two sessions.
The 50-share NSE Nifty dipped below the 7,600 mark by plunging 80.70 points, or 1.06%, to end at 7,568.55.
Brokers said sentiments turned weak on foreign capital outflows that took weak cues from on worsening geopolitical tensions and the rupee slumping to five-month low amidst rising crude oil prices.
Globally, major stocks markets in Asia fell in the range of 1-2 per cent, while most of the European markets were down over 1% in early trade as global sell-off spread.
Extending downtrend for the third consecutive day, Bhushan Steel shares slumped 10% to hit its lowest trading permissible limit for the day of Rs 219.35 on the BSE after the CBI arrested Neeraj Singal, vice chairman and managing d.irector of the company, in connection with Rs 50 lakh bribery scandal involving Syndicate Bank.
Shares of state-run State Bank of India ended 0.68% lower at Rs 2,420.50 after bank posted a marginal 3.3% increase in net profit for the quarter ended June 30.
Recent outperformers such as realty, metal, power, capital goods, PSUs, IT, Infrastructure, consumer durables, banking, auto and oil and gas stocks saw profit booking.
Out of the 30-share Sensex, 24 stocks closed with losses and six counters ended higher.
Sector-wise, the BSE Realty index suffered the most on Friday by plunging 3.86%, followed by Metal index (3.15%), Power index (2.92%), Capital goods index (2.50%), PSU index (2.24%) and Consumer durables index (1.62%).
Meanwhile, Foreign portfolio investors (FPIs) sold shares worth a net Rs 73.07 crores yesterday, as per provisional data from the stock exchanges.