The benchmark S&P BSE Sensex fell for the third day and closed 56.57 points lower at 19,748.19,dragged down by metal,realty and bank stocks ahead of the RBI's policy review next week. * Check Live Stocks Weak first-quarter results from Hindustan Unilever (HUL) and Sterlite Industries also affected market sentiment. HUL,which posted a 23 per cent drop in profit,contributed to half of the decline in the Sensex,which remains at a two-week low. *Search: India Inc A,B,C The Sensex has lost 401.66 points,or 2 per cent,in the past week,during which the RBI came out with fresh curbs on gold imports and a second round of measures to tighten liquidity in a bid to contain exchange rate volatility. Brokers said investors refrained from creating major positions before the RBI's credit policy review scheduled on July 30. They also said the RBI's liquidity-tightening measures might hurt growth prospects in the short term. Technology company Wipro Ltd fell 4.1 percent a day ahead of its June-quarter results. *Check Wipro share price "Markets ended weak on Friday on subdued global cues and continuing concerns over interest rates and rupee," said Dipen Shah,Head of Private Client Group Research at Kotak Securities. "Below-expectation results from a few companies also marred sentiment. After the steps taken to restrict the rupee depreciation,markets are concerned about any further increase in interest rates." The Sensex opened higher at 19,892.42 points and climbed to 19,907.45 in early trade following overnight gains in the US market. However,it declined to 19,699.76 before ending at 19,748.19,a loss of 56.57 points or 0.29 per cent. The 50-share Nifty index on the National Stock Exchange fell 21.30 points,or 0.36 per cent,to 5,886.20. The SX40 index on the MCX-SX,fell 0.32 per cent. Foreign institutional investors pulled out a net Rs 442.94 crore yesterday,according to provisional BSE data. The S&P BSE Metal index fell 3.52 per cent,followed by realty,PSU and banking sector indices. Hindalco tanked over 7.5 per cent on heavy selling. Asian stocks ended mixed. Indices in China,Japan,and Taiwan declined by 0.17 per cent to 2.97 per cent,while indices in Hong Kong,Singapore and South Korea moved up by 0.01 per cent to 0.31 per cent. Indian shares close at 2-week lows; earnings,RBI on watch (Reuters) Indian shares fell nearly 1.5 percent on Thursday to their lowest close in nearly two weeks as ITC Ltd slumped after missing its quarterly sales forecast,and Hindustan Unilever dropped a day ahead of its results. Ambuja Cements Ltd and ACC Ltd also fell after their Switzerland-based owner Holcim announced a complex restructuring of its Indian units that was seen by some analysts as detrimental to minority shareholders. The market was also choppy as July derivative contracts expired at the end of the session. The week was marked by volatility,with India's benchmark index rising to a 2-1/2 year high on Tuesday,but slumping since then on the central bank's additional cash-draining measures to support the rupee. The Reserve Bank of India's steps such as capping individual banks' borrowing from itself has sent bond yields surging,raising concerns about higher borrowing costs for banks and companies. The measures also come ahead of its policy review on Tuesday. "Nifty can fall till the 5,800 level if RBI announces more measures to stem the rupee's slide on or before policy day," said Vivek Mahajan,head of research at Aditya Birla Money. The benchmark BSE index fell 1.42 percent,or 285.92 points,to end at 19,804.76,marking its biggest single day fall since July 3. The broader NSE index lost 1.39 percent,or 83 points,to end at 5,907.50,falling for a second day. Shares in ITC Ltd,India's largest cigarette maker, fell 4.5 percent after sales missed forecasts on lower-than-expected volume growth in the cigarette segment,dealers said. Consumer goods maker Hindustan Unilever Ltd fell 3 percent on profit-taking a day ahead of its June-quarter earnings. It touched an all-time high of 725 rupees on Wednesday. Hindustan Unilever was also hit after its parent Unilever reported underlying sales growth of 5 percent for the second quarter,just shy of market expectations,and said growth was slowing in emerging markets. Technology company Wipro Ltd fell 4.1 percent a day ahead of its June-quarter results. *Check Wipro share price Ambuja Cements Ltd slumped 10.6 percent,after several brokerages,including Bank of America-Merrill Lynch and Religare Institutional Research,downgraded the stock on news of its restructuring. Among stocks that gained,Hero MotoCorp Ltd gained 4.2 percent after its adjusted operating margins for the June quarter beat estimates.
