Sensex surrenders initial gains, trades 393 pts lower

The BSE benchmark Sensex surrendered initial gains to trade lower by 392.99 points on emergence of profit-booking in software exporting and pharma companies after the rupee fell back to record low.
After rising to 18,567.70 at the outset, the 30-share index fell sharply to trade at 17,853.05, down 2.17 per cent, at 1500 hrs.
The broad-based National Stock Exchange index Nifty fell by 107.55 points, or 1.99 per cent, to 5,293.90 as the rupee slumped to a new record low of 64.43 per dollar.
Marketmen said the selling pressure was more confined to companies such as software exporters and drug makers with their exposure to overseas markets.

They said the falling of rupee to fresh all-time low of 64.43 raised fears of slowing economic growth.
Infosys, the second-largest software services provider, dropped 2.12 per cent to Rs 2,941.45.
Sun Pharmaceutical, the most valuable drugmaker, fell by 4.23 per cent to Rs 486 while Cipla decline by 1.82 per cent to Rs 393.85.
State Bank of India plunged by 1.06 per cent to Rs 1,537.10, after climbing to Rs 1,650 in early trade.