Mumbai: The benchmark Nifty index closed lowest in a month, lossing 128.25 points, reversing all its overnight gains amid across the board selling pressure reacting to uncertainty over Apex bank further rate cut following rise in CPI inflation.
The retail inflation (CPI) rose to 5.37 percent in February on higher prices of food items.
The market however, saw its yesterdays gains were extended for brief period enthused by parliament passage of long-delayed insurance bills and better-than expected IIP growth data surging to an high of 8,849.75, later succumbed to volatility amid hectic unwinding.
Selling was led by FMCG 2.04 percent, Bank 1.89 percent, Infra 1.71 percent, PSU Banks 1.79 percent, Finance 1.62 percent, Auto 1.47 percent, Pharma 1.39 percents, metals 1.31 percent and realty 0.79 percent.
The 50-share Nifty resumed higher at 8,844.05 and traded between a high of 8,849.75 and low of 8,631.75 before closing at 8,647.75, showing a fall of 128.25 points, or 1.46 percent, over its previous close.
Meanwhile, Foreign Portfolio Investors (FPIs) bought shares worth a net Rs 733.09 crore yesterday, as per provisional data of stock exchanges.
Elsewhere, most of the Asian stocks closed higher taking overnight cues from high US market.
Major losers from the Nifty pack Jindal Steel 4.27 percent, BHEL 3.52 percent, Cairn 3.51 percent, L&T 3.16 percent, Reliance Capital 3.12 percent, Ambuja Cement 3.05 percent, ICICI bank 2.37 percent and SBIN 2.13 percent. SunPharma 2.60 percent and Tata Motors 2.36 percent.
Turnover in the cash segment surged to Rs 20,173.58 crore compared to Rs 18,525.51 crore yesterday. A total of 9,479.14 lakh shares changed hands in 82,10,442 trades. The market capitalisation at NSE stood at Rs 100,94,498 crore.
