The BSE Sensex snapped a four-day rally on Thursday and shed 85 points, as funds booked profits in heavy-weight stocks led by software counters on concerns that a stronger rupee will hurt their revenues, coupled with weak global sentiment.
The Sensex, which had been on an onward march since the past four sessions gaining over 1.35 per cent, fell by 85.41 points to 17,615.72. The bellwether index touched a low of 17,566.54 and a high of 17,733.34 during the day.
The rupee surged to an over 15-month high buoyed by a weakening dollar against all leading currencies backed by large dollar sales by foreign banks, but buying by importers and a weak share market prevented a sharper rise.
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The rupee woes pulled down the BSE IT Index by 2.22 per cent. This is the second straight fall for the IT counters.
The domestic software companies get over 50 per cent of thier revenues from the U.S.
However, a surge in the refinery stocks led by the market leader Reliance Industries and Aban Offshore saved the markets from a major fall.
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The broader NSE Nifty 50 also followed suit shedding 18.70 points to 5,263.10, after dipping to a low of 5,244.75.
Among the Sensex counters, 18 declined while 12 ended in the positive zone as IT, auto, and healthcare counters were on weak wicket on profit selling by funds.