Sensex sheds 137 points on weak global cues

PTI Updated - July 11, 2011 at 04:57 PM.

The Bombay Stock Exchange benchmark Sensex today fell further by about 137 points on sustained selling by funds in blue-chips, led by Infosys, ahead of quarterly earnings amid a weakening global trend.

The 30-share index closed lower by 136.65 points at 18,721.39, in continuation to a loss of 220 points in the previous session on Friday.

Similarly, the broad-based National Stock Exchange index Nifty lost 44.55 points to close at 5,616.10.

Infosys Technologies fell 1.98 per cent to Rs 2,919 ahead of its quarterly earnings to be announced tomorrow.

Brokers said investors were squaring up their pending positions ahead of quarterly earnings on fears that a steep hike in interest rates might hurt gains.

A weakening Asian trend and a lower opening in Europe after the weakest growth in US jobs in nine months and concerns that Europe’s debt crisis might spread to Italy dimmed the outlook for global economy, they added.

Index-linked Hindalco Industries, the second-largest aluminium producer, lost 4.41 per cent to Rs 180.10 after the Environment Ministry referred the allocation of the Mahan coal block to a panel of ministers, pending ecological clearance.

State Bank of India fell 1.93 per cent to Rs 2,430.90 and Housing Development Finance Corp lost 0.63 per cent to Rs 707.50.

Realty sector was the worst performer as DLF Ltd, the biggest developer, declined by 3.25 per cent to Rs 229.15.

The auto sector stocks declined following reports the auto sales grew the slowest since March 2009. Maruti Suzuki fell 1.77 per cent to Rs 1,163.30 and Bajaj Auto 0.48 per cent to Rs 1,459.

Published on July 11, 2011 11:25