Sensex Tumbles 78 Points Under Selling Pressure

The 30-scrip Bombay Stock Exchange sensitive index yesterday tumbled 78.47 points on fears of a fall in the rupees value and reports that a decision on a petroleum products price hike has been referred to the cabinet. The sensex opened at 4,252.02 and touched an intra-day high of 4,265.19 and a low of 4138.27 before closing at 4156.16.

A bearish mood also prevailed on the National Stock Exchange, with the NSE-50 (Nifty) index losing 16.70 points over the previous close of 1198.20 points. The Nifty opened at 1,198.80 and touched a high of 1,212.15 and a low of 1,179.30 before closing at 1,181.50. Trading turnover at the bourse also remained low, touching just Rs 1,400.22 crore.

 

There was selling in key pivotals like ACC, Tata Steel, Telco and ITC. There is general concern over the value of the rupee, which is expected to depreciate in the next few days, said a dealer at Cas-pian Securities.

The market also reacted nervously to news that the core committee set up to decide on the oil price hike had failed to arrive at a consensus. The fact that differences in opinion persist within the ruling United Front also affected sentiment yesterday.

The Tisco stock lost about 4.34 per cent on the NSE, closing at Rs 196.40 against the previous close of Rs 205.30. Other prominent losers included Gujarat Ambuja, which closed at 324.15 (down 4.17 per cent) and Telco, which dropped to Rs 358.55 against the previous close Rs 367.15.

The SBI counter saw hectic activity and the share price went through wild fluctuations opening on the BSE at Rs 322, shot up to Rs 330 and closed at Rs 318.75 against the previous close of Rs 320.50. On the NSE, the SBI scrip opened at Rs 323.40 and rose to Rs 332.70 before closing at Rs 318.55 against the previous close of Rs 321.20.