Heavyweights take toll on indices

STOCK REPORT

The National Stock Exchange's 50-share Nifty closed below the 5000-mark at 4946.55, down 78.90 points, or 1.6 per cent. Intraday, it touched a low of 4940.70 and a high of 5059.05.The CNX Midcap and S&P CNX 500 ended down over 1 per cent each.

Turnover on BSE and NSE combined was Rs 18,100 crore compared with Rs 19,600 crore in the previous session.

Share indices made a positive start to today's session but edged lower and were nearly flat before inflation data was released around noon.The slight optimism, after inflation for the week to May 10 fell marginally to 7.82 per cent against 7.83 per cent a week earlier, faded soon as revised inflation rate for the week to March 15 stood at 8.02 per cent, dealers said.

Expectations that Reserve Bank of India would maintain a strict monetary policy stand amid possibility that inflation is only likely to soar higher prompted profit booking in bank shares. Shares also took a beating after FM Chidambaram today said the farm debt waiver scheme is likely to cost Rs 71,680 crore, up from the earlier estimated Rs 60,000 crore. ICICI Bank, and State Bank of India fell 2 per cent each.