Sensex falls banks retreat ahead of RBI decision

SENSEX-NIFTY-HDFC-SBI-ITC:Sensex falls banks retreat ahead of RBI decision

The BSE Sensex and Nifty fell to their lowest close since early June as banks retreated on expectations the Reserve Bank of India will keep interest rates on hold next week, while ITC fell after cigarette volume growth dipped in the latest quarter.

HDFC bank fell 1.6 percent, while State bank of India fell 2.5 percent.

ITC shares lost 1.8 percent.

The BSE Sensex provisionally fell 1.22 percent to 16,639.82 points, the lowest close since June 6.

The Nifty declined 1.3 percent to end at 5,043 points.