Sensex at 1-wk low; down 112 pts as rate sensitive scrips fall

Falling for the second day, the BSE benchmark Sensex today slid by over 112 points to close at one-week low of 20,111.61, mainly due to profit booking in interest rate sensitive sectors including realty, auto and banking.
The Bombay Stock Exchange 30-share barometer resumed almost stable and moved in a range of 20,308.04 and 20,072.68, before concluding at 20,111.61, a fall of 112.37 points or 0.56 per cent. Yesterday, it fell by over 62 points, snapping a four-session rally that saw it scale over 30-month highs.
Fall in Tata Motors, ITC, SBI, HDFC Bank, ONGC, NTPC and M&M together contributed over 100 points drop in the Sensex.

The broad-based NSE 50-issue CNX Nifty also dropped by 42.80 points or 0.70 per cent to 6,114.10. Also, MCX-SX flagship index SX40 closed lower by 66.13 points, or 0.55 per cent, at 11,881.37.
Traders said mixed global cues weighed on the domestic market sentiment as Sensex appears to be in a "phase of consolidation" near 20-K level before making a fresh move.
Besides, investor confidence was dampened after Barclays Capital lowered India's growth forecast to 6 per cent for 2013-14, from earlier projection of 6.2 per cent, citing "recent disappointments" in economic activity.

Realty sector suffered the most as BSE realty index fell by 2.59 per cent, followed by auto index (1.75 per cent), , power index (1.06 per cent) and banking index (0.88 per cent). RBI is expected to cut interest rates next month and rate-sensitive scrips gained in anticipation, experts said.

The country's largest car-maker Maruti Suzuki dropped by 2.49 per cent on reports LIC has lowered its stake by 2.53 per cent over a period of almost six months.
Globally, Asian stocks closed mixed today while European markets also were quoting lower in their afternoon trade.