June 01 2020
Sensex opens 126 points down ahead of RBI policy review meeting
15 June 2011

The BSE benchmark Sensex fell by over 126 points in opening trade on Thursday as funds and retail investors sold heavily amid fears of a hike in key interest rates by the Reserve Bank of India at its monetary policy review meeting later in the day.

The 30-share Bombay Stock Exchange barometer, which lost 176.42 points in the previous session, fell further by 126.42 points, or 0.69 per cent, to 18,005.82 points within the first few minutes of trade on Thursday, with interest-sensitive banking, realty and auto stocks coming under selling pressure.

Similarly, the wide-based National Stock Exchange Nifty index declined by 41.10 points, or 0.75 per cent, to 5,406.40.

Brokers attributed the continued weakening trend on the bourses to persistent selling by funds and retail investors on fears that the Reserve Bank of India might announce a hike in key interest rates in its annual monetary policy review later today to check rising inflation.

In addition, weak cues from Asian markets following overnight losses in the US also had a dampening impact on the sentiment here, they said.

Hong Kong’s Hang Seng index was down by 1.32 per cent, while Japan’s shed 0.84 per cent in morning trade today.

In the US, the Dow Jones Industrial Average ended 1.48 per cent lower in yesterday’s trade.



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