After recording gains in the previous two sessions, the Indian stock market switched to its losing ways on Thursday, with investors pressing sales at several counters, amid a falling rupee, fears about likely U.S. interest rate hikes in the foreseeable future and on persisting worries about a likely drop in economic growth following the recent demonetisation move by the government.
The rupee's slide to a record low against the U.S. dollar triggered some buying in the IT space. A few stocks from metal sector edged higher, due largely on short-covering. There were some gains for a few stocks from FMCG and powere sectors too. But otherwise, the market was under pressure right through the session.
Bank, automobile, realty and healthcare stocks declined. Oil and consumer durables stocks too were mostly weak. Capital goods stocks turned in a mixed performance. Midcap and smallcap segments saw stock specific activity.
The BSE benchmark Sensex ended down 191.64 points or 0.74% at 25,860.17, after declining to a low of 25,810.97. The Nifty50 of the National Stock Exchange ended at 7965.50, down 67.80 points or 0.84%.
In the forex market, the rupee slid to a record low against the U.S. dollar, declining to 68.86. Around late afternoon, the rupee was trading at 68.73 a dollar, down 0.23% from its previous close of 68.57.
The market breadth was slightly positive. Out of 2724 stocks traded on BSE, 1341 stocks posted gains. 1215 stocks declined and 168 stocks ended flat.