Sensex snaps 3-day rise; falls 51 points on profit-booking
After gaining over 400 points in past 3 sessions, the Sensex on Thursday declined by 51.14 points to close at 19,939.04.
Mumbai: The BSE benchmark Sensex on Thursday retreated from over three-month high levels by losing 51 points on profit-booking in recent outperformers such as Reliance Industries, Sun Pharma and HDFC Bank ahead of key industrial production data release tomorrow.
After gaining over 400 points in past three sessions, the Sensex on Thursday declined by 51.14 points, or 0.26 per cent, to close at 19,939.04. The gauge had hit the crucial 20,000-level many times during the day but failed to build momentum.
Profit-booking in recent gainers such as RIL, Sun Pharma, Jindal Steel, Maruti Suzuki and Sterlite Ind. pulled 30-scrip Sensex down where 17 stocks fell. Tata Power remained flat. Similarly, National Stock Exchange index fell by 19.15 points, or 0.32 per cent, to 6,050.15. MCX Stock Exchange (MCX-SX) flagship index SX40 fell 2.7 points, or 0.02 per cent, to close at points 11,794.04 on Thursday.
Brokers said investors booked profits in some blue-chips that registered gains in last few sessions ahead of March IIP on Friday and a weakening trend elsewhere in Asia and Europe.
"Also, in the one-sided rally seen in last four weeks, market participants become sceptical as to whether to buy at these high levels or not," said Nidhi Saraswat, Senior Research Analyst, Bonanza Portfolio. While healthcare, metal and realty stocks saw selling, IT sector was the best performer of the day after US-based Cognizant's maintained its annual revenue outlook, boosting investor sentiment. HCL Tech gained over 2.6 percent, followed by TCS (1.52 pc), Wipro (0.80 pc) and Infosys (0.40 pc).
Meanwhile, Union Bank, Indian Bank and Punjab National Bank gained in 2-4 per cent range after posting good results. In small-cap space, Viceroy Hotels zoomed 20 per cent after its board gave nod for selling Chennai Project Division for Rs 480 crore. IT training firm Aptech gained over 16 per cent on buyback buzz, said dealers. Globally, Asian markets ended mixed. European indices were trading lower in late trades.