Sensex drops 166 points ahead of macro data, global cues hurt

Mumbai: The benchmark Sensex tumbled over 166 points today to close at a two-week low of 31,096 as investors remained on the sidelines ahead of key macroeconomic data amid weakness in global peers.

Capital goods, banking and consumer durables were in a spot of bother.
The Sensex resumed lower and dropped further to 31,044.28 due to heavy selling pressure in view of foreign capital outflows and lower global cues before closing at 31,095.70, a loss of 166.36 points, or 0.53 per cent.

This is the lowest since May 26 when it ended at 31,028.21. The gauge had gained 48.70 points in the previous session on Friday.

The 50-issue NSE Nifty ended 51.85 points, or 0.54 per cent, at 9,616.40 after cracking below 9,600 mark to touch a low of 9,598.50. Sentiments was dampened by global cues after polls in the UK threw up a hung Parliament and markets await the results of the first round of France’s parliamentary elections. There was also caution ahead of this week’s US Federal Reserve policy meeting.

Offloading of positions by participants ahead of key economic data – industrial production (IIP) for April and consumer price index (CPI) inflation for May – to be released after market closing today contributed to the weak sentiment.