MUMBAI: As investors prepared for a special price discovery trading session for index heavyweight Reliance Industries, the Sensex on Monday dipped by 63 points, extending its losses to the fifth straight day in volatile trading on sustained selling pressure amid slowdown in foreign institutional investor activity.
Market players seemed to have adopted cautious approach and reduced their holdings in RIL a day before the company's demerger followed by a special trading session on January 18, for price discovery of its shares.
The Bombay Stock Exchange benchmark 30-share sensitive index (Sensex) reacted negatively after early rally to 9397.62 and dropped to the intra-day low of 9287.09 before closing at 9311.19 against last Friday's close of 9374.19, a net fall of 63 points.
The market has fallen by 329.10 points or 3.41 per cent in the five days after January 9.
RIL attracted brisk activity and clocked heavy volume as the scrip witnessed heavy selling pressure throughout. Foreign institutional investors (FIIs) and domestic mutual funds too were believed to be sellers during the day.
The FIIs reported net sales of Rs. 1,031 crore on January 10 and 12 while domestic funds were sellers to the tune of Rs. 797 crore in the initial three days of last week.- PTI