Sensex off 1-1/2-week high; falls 130 pts during the week
Mumbai: After logging 1-1/2-week high on the first day of the week, the benchmark S&P BSE Sensex fell by 130 points to end the holiday-shortened week at 27,241.78 on sustained heavy sell-off by foreign funds amid profit-booking as this month’s derivatives contract expired on December 24.
The BSE and the NSE remained closed on December 25 on account of “Christmas”.
The market got no major trigger from overseas markets, following the Christmas atmosphere.
However, expectations of hike in interest rates by the US Federal Reserve as the American economy grew the fastest in more than a decade in third quarter, influenced sentiments.
Besides, it will strengthened the dollar and affect the inflows in emerging markets negatively, including India.
It also resulted in profit-booking by wary operators and retail investors.
The market also suffered a setback after the government was unable to get pass key legislative reform bills during the Winter Session of Parliament.
Failure to pass the GST Bill till now has led to market disappointment as it had discounted the successful approval of the Bill in the current session itself.
Besides, markets gave a mixed response to Jharkhand and Jammu & Kashmir election outcome.
The BSE 30-share barometer resumed the week higher and touched 1-1/2-week high of 27,851.10 after Finance Minister Arun Jaitley’s statement that India could well achieve 6 per cent GDP growth next fiscal and a vision to achieve 9-10 per cent economic growth afterwards, cheered participants.