Sensex sheds close to 300 pts as investors book profit

The benchmark BSE Sensex today slumped by nearly 300 points to end day's trade at 27,208.61 due to heavy profit-booking, chiefly in IT, oil & gas and power shares, ignoring government approving the ordinance route to implement insurance and coal reforms.
The BSE 30-share index traded in the positive terrain in early trade but could not to keep the gains and fell sharply o 27,208.61, a fall of 297.85 points or 1.08 per cent, due to selling pressure emerged in the last hour of day's trading.
The index had lost 195.33 points yesterday.
The broader NSE Nifty also dipped by 92.90 points or 1.12 per cent to end below 8,200-mark at 8,174.10.

Barring realty, all the sectoral indices closed in the red on across-the-board selling.
Among the Sensex stocks, BHEL was the worst hit at 2.52 per cent. NTPC lost 2.35 per cent, Gail India 2.22 per cent, ONGC 2.16 per cent and HDFC 2.07 per cent

"The selling pressure increased in the last-half an hour and pushed the Nifty index below 8200. Surprisingly, markets ignored Cabinet's approval on executive order to implement coal and insurance reforms," said Jayant Manglik, President, Retail Distribution, Religare Securities.
Brokers also attributed the selling pressure rollover of positions, short as well as long, to the next series on the last day December contract in Futures and Options.

Meanwhile, NSE recorded highest turnover in equity derivatives today. Index options traded value was a record Rs 453,561.76 crore, while F&O witnessed a record trade value of Rs 566,897.54 crore.
"Outflow was seen from Pharma and IT stocks while weakness in rupee continued to weigh on banking stocks. Profit booking was seen on major banking stocks. F&O expiry and profit booking dragged the markets in late hours," WealthRays Securities' said CEO & Director Kiran Kumar Kavikondala.
Meanwhile, the Union Cabinet approved promulgation of the Ordinance on insurance bill, re-promulgation of the coal Ordinance and allowing up to 100 per cent FDI in medical devices in the pharmaceutical sector under automatic route.