Sinking crude oil prices dampened the market sentiments for the second consecutive day with the Bombay Stock Exchange (BSE) benchmark Sensex on Wednesday ending 162 points lower amid heavy selling pressure from foreign funds.
Foreign Institutional Investors (FIIs) reportedly were sellers in two sessions in reaction to falling global oil prices, which ruled slightly over $58 a barrel in Asian trade during the day.
Rising to 12,419.65 in the initial stages of session, the Sensex gradually moved downwards to the day's low of 12,178.83 before ending the day at 12,204.01, a net fall of 162.38 points or 1.31 per cent from Tuesday's close of 12,366.39.
Similarly, the National Stock Exchange's (NSE) S&P CNX Nifty fell sharply by 54.25 points or 1.52 per cent to 3,515.35 from previous close of 3,569.60.
Linking the sell-off in shares to a sharp fall in crude oil prices, brokers said FIIs, which have burnt their fingers in global oil market, were making large withdrawals from equity markets.
FIIs reported withdrawals of Rs 355 crore from the derivatives segment and Rs 276 crore from the cash segment on October 3. FIIs were heavy buyers during last week.
The foreign exchange market too witnessed heavy dollar sales leading to sharp appreciation in rupee following easing crude oil prices.
Except Bajaj Auto, other 29 counters from the Sensex family registered sharp to moderate losses due to across-the-board selling pressure from investors.
The broad-based BSE-100 Index fell sharply by another 72.53 points to 6,223.29 from previous close of 6,295.82.
The BSE-200 Index and the Dollex-200 were quoted down at 1,473.03 and 536.40 at close compared to previous close of 1,489.46 and 541.47 respectively. The BSE-500 Index dropped by 49.74 points to 4,674.87 from last close of 4,724.61 and the Dollex-30 ended lower at 2,191.48 from 2,216.89.
RIL dipped by 12 to 1149.35, Infosys Tech by 14.45 to 1803.20, Satyam Computer by 19.25 to 802.85, SBI by 18.30 to 1014.95, Tata Steel by 11.15 to 523.35, HDFC Bank by 28.40 to 2491.40, BHEL by 67.70 to 2301.60, Dr Reddy's Lab by 14.60 to 712.60, Grasim by 28.85 to 2491.40, ITC by 3.05 to 184.90, HLL by 2.45 to 246.95, Maruti Udyog by 20.70 to 947.30, ONGC by 25.60 to 1133.30, Reliance comm by 7.75 to 339.60, Wipro by 10.60 to 509.10, TCS Ltd by 26.40 to 988.10, Tata Motors by 10.60 to 880.25, ACC by 12.10 to 978.60, Bharti Airtel by 5.15 to 461.30, HDFC by 36.60 to 1440.70, Hero Honda by 2.50 to 751.20, L&T by 18.40 to 1233.90, NTPC by 3.00 to 130.20, Cipla by 3.30 to 252.35 and Ranbaxy by 7.35 to 421.10.