The benchmark S&P BSE Sensex, on Monday, tumbled 347.5 points to a new three-week low amid jittery global markets and expectations of weak June quarter current account deficit data. After the markets closed for the day, government data showed the current account deficit widened to 4.9 per cent of GDP in the April-June quarter.
Heavyweights ITC, ICICI Bank and Reliance Industries dragged the Sensex lower. Capital goods, bank, metal and realty stocks fell on the BSE as 12 of the 13 sectoral indices ended down.
The 30-share Sensex resumed lower in line with weak Asian cues, and gradually declined to settle at 19379.77, a fall of 347.50 points or 1.76 per cent. Last Friday, it had dipped 166.58 points or 0.84 per cent.
ADVERTISEMENT
The broader CNX Nifty index on the National Stock Exchange dropped 97.90 points to 5735.30.
Asian stocks were mostly down amid concerns over a budgetary impasse in the U.S. European markets were also affected as reports said Italian Prime Minister Enrico Letta had called a parliamentary vote of confidence on Wednesday.
ADVERTISEMENT
ADVERTISEMENT
The rupee fell further by nine paise on Monday to an almost one-week low of 62.60 against the dollar amid demand for the U.S. currency from importers and weak equities ahead of data on key economic indicators, including the current account deficit.
The rupee opened lower at 63 a dollar from Friday’s close of 62.51 at the interbank foreign exchange market.
It declined to a low of 63.03 on month-end dollar demand from importers.
However, fresh dollar selling by exporters and a drop in the dollar overseas helped to lift the rupee to a high of 62.50 before it settled at 62.60, a loss of nine paise.