Sensex falls by 55.26 pts during the week
Mumbai, Jul 21 : The benchmark Index of the Bombay Stock Exchange (BSE) drifted lower by 55.26 points to 17,158.44 during the week under review, as investors reduced bets on future rate cuts from the central bank after comments from Reserve Bank of India Governor D Subbarao.
The Nifty eased by 22.15 points to 5,205.10.
The BSE Mid-Cap and Small-Cap index declined by 1.02 and 0.92 per cent respectively. Both these indices underperformed the Sensex.
The equity market witnessed lacklustre trdaing during the week weighed down by sensitive shares after June inflation which remained above the central bank's comfort zone dashed hopes of cut in key policy rates.
The wholesale price index grew by 7.25 per cent in June.
India's headline as well as consumer price inflation is way above the Reserve Bank of India's comfort level. The RBI's threshold level for inflation was around 5 per cent.
Exports also dropped by over 5 per cent while imports too shrunk over 15 per cent bringing down trade deficit to a 15-month low lastmonth.
Trading for the week began on a weak note, as the Sensex slipped by 110 points to 17,103.31, three-week-low, following profit booking in select indices. The Nifty fell by 30 points to 5197.25.