Sensex snaps 3-week winning streak

Impasse over debt ceiling in the US and back-to-back warning by Moody8217;s and Samp;P on US debt also weighed on trading sentiments.

Bomb blasts in three places in Mumbai during the week also affected the market sentiment.

Analysts said first quarter results announced by the country8217;s second largest software firm Infosys Tech were below market expectations and aided the downtrend.

The company reported a 15.72 per cent jump in consolidated net profit to Rs 1,722 crore for the first quarter ended June 30,2011.

Indicating sluggishness in the economy,industrial growth fell to 5.6 per cent in May this year from 8.5 per cent in the same month last year,mainly due to the poor performance of the manufacturing and mining sectors,further aggravated the situation.

The BSE benchmark Sensex resumed lower at 18,823.19 and dropped further to 18,326.42 before settling the week at 18,561.92,a net loss of 296.12 points or 1.57 pct from its last weekend8217;s level. It had gained by 987.51 points or 5.53 per cent in the last three weeks.

Interest rate related stocks from realty and banking segments,too,attracted selling on fears the rising interest rates in view of rise in inflation which might affect the bottom-line of these companies/banks.

Metal and mining stocks extended slide on reports that ministerial panel approved the draft Mining Bill,which proposed profit-sharing with people affected by their projects.

The NSE 50-share Nifty also dropped by 79.55 points or 1.41 per cent to 5,581.10 from its last weekend8217;s level.

Among the indices,the BSE-IT fell by 5.53 per cent,the BSE-Teck by 4.51 per cent,the BSE-Metal by 2.36 per cent,the BSE-Realty by 1.89 per cent,the BSE-Capital Goods by 1.35 per cent and the BSE-Auto by 1.19 per cent.

However,the BSE-IPO shot up by 1.70 per cent,the BSE-HC by 1.26 per cent and the BSE-Oilamp;Gas by 1.12 per cent.

Major losers from the Sensex pack were Infosys 8.31 per cent,Hindalco 6.26 per cent,Jaiprakash Asso 3.95 per cent,Hero Honda 3.76 per cent,Wipro 3.63 per cent,Tata Steel 3.56 per cent,BHEL 3.02 per cent,Cipla 2.56 per cent,Reliance Infra 2.21 per cent,Bajaj Auto 2.62 per cent and HDFC 2.60 per cent.

However,Reliance Industries shot up by 2.21 per cent,followed by ONGC 0.71 per cent,ITC 0.52 per cent and Mamp;M 0.28 per cent.

The total turnover at BSE and NSE fell to Rs 12,562.73 crore and Rs 49,941.40 crore,respectively from Rs 15,233.28 crore and 54,892.40 crore previously.