Sensex slumps on profit-booking, weak Asian cues

Mumbai:Market benchmark Sensex fell over 160 points in early trade and the NSE Nifty cracked below the 7,700-mark on Friday due to profit-booking by investors after Thursday’s gain amid weak cues from Asian markets ahead of the US employment data.

A view of the BSE building in Mumbai.

The 30-share barometer dropped by 160.09 points, or 0.63 per cent, to 25,102.12, with all sectoral indices led by FMCG, metal, IT and auto stocks leading the fall with losses up to 1.08 per cent.

The index had gained 160.48 points in the previous session.

Also, the broader NSE Nifty dipped below the crucial 7,700-mark by falling 51.10 points, or 0.66 per cent to 7,684.40.

Shares of leading commodity exchange MCX was trading 4.21 per cent lower at Rs 877.80 after the company yesterday reported a 45 per cent fall in standalone net profit to Rs 27.10 crore during the fourth quarter of the 2015-16 fiscal.

Stocks of ITC group plunged 1.98 per cent to Rs 311.25 after the company said its cigarette factories have been shut since May 4 and will remain so till the time it is able to comply with “interim requirement” of 85 per cent pictorial warnings.

Shares of country’s largest two-wheeler maker Hero MotoCorp fell 1.15 per cent to Rs 2,860.75 despite the company’s 70.85 per cent rise in standalone net profit at Rs 814.16 crore for the fourth quarter ended March 31.

The company had posted a net profit of Rs 476.53 crore during the same period of the previous fiscal.

Brokers said apart from profit-booking , a weak trend at other Asian bourses as investors await the release of key US jobs data later in the day, dampened sentiment here.

In the Asian region, Hong Kong’s Hang Seng was down 1.27 per cent and Japan’s Nikkei fell 0.72

per cent. Shanghai Composite fell 1.44 per cent in early trade.

The Dow Jones Industrial Average, however, ended marginally up by 0.05 per cent in yesterday’s trade.

Posted by on May 6, 2016. Filed under Economy. You can follow any responses to this entry through the RSS 2.0. Both comments and pings are currently closed.