Markets

Sensex plummets 244 points on disappointing IIP data, weak global cues

Our Bureau Agencies Mumbai | Updated on March 13, 2018

The Sensex and the Nifty plunged nearly one per cent at the closing session on Monday on heavy selling by funds and retail investors due to weak industrial production data and weak global cues.

Brokers said selling pressure emerged as the country’s industrial production growth slowed to a four-month low of 0.5 per cent in July but easing retail inflation to 7.8 per cent in August from 7.96 per cent in July, and dip in WPI inflation to a five-year low of 5.74 per cent in August restricted the fall.

The 30-share BSE index Sensex plunged 244.48 points to end at 26,816.56 and the 50-share NSE index Nifty fell 63.5 points to end at 8,042.

Among BSE sectoral indices, metal index fell the most by 1.69 per cent, oil & gas and IT 0.96 per cent each. On the other hand, healthcare index was up 0.41 per cent, followed by realty 0.18 per cent and infrastructure index 0.18 per cent.

Cipla, Hero MotoCorp, Dr Reddy's, HDFC Bank and Infosys were the major Sensex gainers, while the major losers were Hindalco, Tata Steel, SSLT, ONGC and Coal India.

Rajesh Agarwal, Head-Research Eastern Financiers, earlier in the day said in a report: "The markets are expected to start the week on a subdued note on the back of weak IIP data declared during the week-end. Although Consumer Price Index (CPI) was at a comfortable zone, markets would be keenly watching the Wholesale Price Inflation (WPI) data for August scheduled to be released on Monday. Further, stock-specific action could be seen after second instalment of advance tax payments by corporates start trickling in.''

European shares fell after disappointing macroeconomic data from China raised concerns about the pace of economic growth in the world's second-biggest economy.

Week-end data showed China's factory output grew at the weakest pace in nearly six years in August, while growth in other key sectors also cooled, increasing fears that the world's second-largest economy may be at the risk of a sharp slowdown unless Beijing takes fresh stimulus measures.

The Stoxx Europe 600 Index slipped less than 0.1 per cent to 344.04 at 10.13 a.m. in London, paring losses of as much as 0.4 per cent.

The MSCI Asia Pacific Index retreated 0.6 per cent today for an eighth day of declines, its longest streak since January 2010. Standard & Poor’s 500 Index futures fell 0.2 per cent.

Published on September 15, 2014

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