Sensex plunges over 600 pts as FIIs dump stocks
27 Aug 2013
The Bombay Stock Exchange (BSE) sensitive index 'Sensex' plummeted over 600 points in afternoon trade today on increased selling by foreign investors wanting to repatriate sale proceeds.
The market opened lower and continued to lose ground, with the Sensex plunging 615 points to 17,939 and hammering the rupee in the process to a record low of 66.07 against the dollar.
The Sensex closed at 17,968.08, down 590.05 points or 3.18 per cent from the previous close of 18558.13.
The wider National Stock Exchange index Nifty was down 198 points to 5,278 during intraday trading. The index closed at 5,287.45, down 189.05 points, or 3.45 per cent.
Stocks across sectors, barring information technology exporters and technology where higher dollar revenues were expected, remained net losers.
Major losers on the BSE were HDFC (9.83 per cent), HDFC Bank (8.19 per cent), BHEL (8.16 per cent), NTPC (6.35 per cent) and Coal India Ltd (5.27 per cent).
Banking and capital goods sectors emerged major losers amidst capital outflows and concerns the food bill would raise the government's subsidy burden.
Foreign funds were net seller with FII sales gathering momentum as trading progressed.
Shares of HDFC and HDFC Bank dropped 5 per cent each while top lenders State Bank of India and ICICI Bank declined 1-2 per cent.
Commercial vehicle maker Tata Motors, utility vehicle major Mahindra & Mahindra and the country's top car maker Maruti Suzuki lost over 2.5 per cent.
FMCG majors ITC and Hindustan Unilever slid 1.4 per cent each.
