Sensex falls 36 pts in early trade ahead of inflation data

Commentary

oi-Sneha

By Sneha B K

Published: Thursday, June 14, 2012, 10:11 [IST]

Snapping a two-day rising streak, the BSE benchmark index Sensex fell by nearly 36 points in early trade today, as funds and retail investors booked profits at prevailing levels amid fears of a rise in inflation.

In addition, weakening trend on the other Asian bourses also dampened the trading sentiments. The 30-share index, which had gained 212.50 points in the past two sessions, fell by 35.93 points, or 0.21 per cent, to 16,844.58 with stocks of banking, power and capital goods sectors succumbing to profit-booking.

Similarly, the wide-based National Stock Exchange index Nifty declined by 16.35 points, or 0.31 per cent, to 5,105.10. Brokers said besides profit-booking by speculators after recent gains, fears of a rise in inflation, to be released later today also triggered selling by participants.

Further, weakening trend on the other Asian markets following overnight losses at the US markets on weak economic data and Europe's debt woes, too, had its impact, they said.

In the Asian region, Hong Kong's Hang Seng index fell by 0.66 per cent, while Japan's Nikkei Index declined by 0.69 per cent in the morning trade today. The US Dow Jones Industrial Average ended 0.62 per cent lower in yesterday's trade.

PTI