Sensex plunges by 130 pts, ends below 10,000
Earlier in the week the index had zoomed to a new historic intra-day high of 10,195.42 on heavy buying.india Updated: Feb 18, 2006 13:24 IST
The Bombay Stock Exchange (BSE) sensitive index (Sensex) plunged by a whopping 129.86 points and after falling to below the 10,000 mark, closed at 9981.11 during the week under review on heavy selling after a fresh pull-back by Foreign Institutional Investors (FIIs).
The index never fell below the 10,000 mark since February 10, dealers said.
Earlier in the week the index had zoomed to a new historic intra-day high of 10,195.42 on heavy buying on expectations of a market-friendly budget and market-men were hoping the index to rise again on government statement that the GDP growth would rise above the 8.00 per cent mark.
However, against the market expectations, prices, mainly in the FMCG and CG segments met with heavy profit-selling and plunged, pulling the Sensex below the 10,000 mark.
The fag-end selling pressure was from operators and retail investors after FIIs reportedly made a fresh net sale of Rs 501.60 crore on February 14 and another Rs 57.70 crore on February 15, taking the total sales during the week to Rs 559.30 crore, as per figures released by the Securities and Exchange Board of India (SEBI).
The BSE 30-share sensitive index (Sensex) opened the week on a better note at 10,117.50 as against the previous close of 10,110.97 and soon zoomed to hit a life-time high of 10,195.42 on heavy buying. Later, as FIIs resorted to heavy selling, the index plummeted to a low of 9970.00 and closed at 9981.11, showing a whopping 1.28 per cent fall over the last course.
However, select dealers described the fall temporary and said FIIs may come back into the market in a big way very soon and would make good investment which would boost up the market sentiment.
Some selling by retail investors were a cautious step ahead of the Union Budget to be presented in the Parliament on February 28, they added.
Among other indices, the broad-based BSE-100 Index fell steeply by 63.57 points to end the week at 5,259.14 from from previous close of 5,141.85.
The BSE-200 Index and the Dollex-200 were also quoted notably lower at 1,260.60 and 472.06 at the weekend compared to last weekend's close of 1,275.33 and 480.28 respectively.
The BSE-500 Index declined by 45.54 points to finish the week at 4,030.58 from preceding weekend's close of 4,076.12 and the Dollex-30 ended sharply lower at 1,843.11 points from 1,877.65 at the last weekend.
On the National Stock Exchange (NSE), the S&P CNX Nifty and the S&P CNX Defty fell by 46.05 points and 52.35 points to close the week at 2,981.50 and 2,322,15 as against the previous week's closing of 3,027.55 and 2,374.50 respectively. The S&P CNX Nifty Junior plunged 137.70 points to end the week at 5,899.95 from 6,037.65 at the last weekend.
Similarly, CNX IT crashed by 90.60 to 3,883.05, Bank Nifty by 129.55 to 4,452.30 and CMX Midcap by 57.70 to 4,368.85.
The volume of business on the BSE and the NSE rose to Rs 20,095.77 crore and Rs 37,787.21 crore from the last week's levels of Rs 15,588 crore and Rs 30,790 crore respectively.
First Published: Feb 18, 2006 13:24 IST