The benchmark BSE-Sensex turned turbulent in the early hours of trade on Monday. It was amid weak global cues and a widened current account deficit (CAD).
The CAD led to a 2 percent rise in GDP at $13.5 billion in the third quarter.
The 30 share index bounced back by over 99 points in the opening deals but turned turbulent later. The benchmark shed 69.20 to be at 33106.8 at 10.22 AM today. Earlier it had lost 741.94 points in the previous four sessions.
Major laggards were Asian Paints, Coal India, Tata Steel, Hero Moto Corp, Adani Ports, Bajaj Auto and Wipro at 3.01 percent.
The NSE Nifty 50 lost 30.30 points to trade at 10,164.85 at 10.22 am.
Stocks of Metal, realty and oil and gas fell up to 1.78%.
Brokers told that weak global cues ahead of the US Federal Reserve policy decision later in the week influenced trading sentiments on domestic bourses.
A sharply widened current account deficit (CAD) too weighed on investors’ mood. The CAD rose to 2% of the GDP at $13.5 billion in the third quarter ending in December. It increased by $8 billion or 1.4% in the year-ago (2016-17) period. It is because of higher trade deficit, data released by RBI stated on Friday.
Meanwhile, on a net basis, domestic institutional investors (DIIs) sold shares worth Rs 770.53 crore on Friday, while, foreign institutional investors sold equities worth Rs 150.46 crore as per the provisional data.
In other Asian markets Hong Kong’s Hang Seng rose to 0.35 percent, Shanghai rose 0.13 percent in the early trade on Monday. The US Dow Jones Industrial average ended 0.29% higher on Friday.
Japan’s Nikkei, however, was down 0.89%.