BSE Sensex retreats from record high; defensives drag

Reuters Market Eye - The BSE Sensex falls 1 percent, retreating from a record high of 21,321.53 hit on a special trading session on Sunday as investors book profits.

The fall, if sustained at the close, would snap a five-day winning streak.

Foreign fund inflows into domestic shares, which have been strong in recent months, could see some slowdown, traders say. Foreign inflows of around $3.5 billion since the U.S. Federal Reserve unexpectedly delayed tapering of its monetary stimulus in mid-October have helped shares.

The Nifty falls 0.8 percent, after hitting a session high of 6,342.95 on Sunday, its highest since January 2008.

 

Losses in technology and banking shares pulling the index lower. Defensives such as ITC Ltd and Dr. Reddy's Laboratories Ltd down 3.5 percent and 3 percent, respectively.

(Reporting by Swati Bhat)