Sensex sheds 77 pts, Asian indices tumble

Record-high crude oil prices and reports of companies paying lower advance tax in March than in the same quarter last year and margin calls by brokers intensified selling pressure in the last hour of Thursday's trading.

Oil price concerns weighed on the market since morning, in line with most other Asian markets, taking a cue from the sharp losses in key US indices.

South Korea's Seoul Composite was the biggest loser among the Asian indices. It fell by 1.32 per cent, while Japan's Nikkei-225 lost 0.82 per cent, and Taiwan's Weighted Exchange slipped 0.66 per cent.

Analysts said worries over higher oil prices led to a weakness in most global markets, triggering an extended bout of selling in India.

A dealer at Mumbai-based brokerage house Motilal Oswal Securities said: "Profit taking was seen on Thursday, extending the losses in the market since Friday. Nervousness is visible at these levels as players await fresh impetus before taking new calls."

Sources said brokerages had been calling their clients to settle outstanding positions and made good the margins, which had depleted in a falling market.

Among oil stocks, the HPCL stock was down 2.36 per cent to Rs 331.35, the BPCL scrip was down 1.74 per cent to Rs 386 and the Indian Oil scrip tumbled 2.02 per cent to Rs 466.60. Among Sensex heavyweights, the Reliance stock was down 11.60 per cent to Rs 561.95.

The benchmark Bombay Stock Exchange (BSE) Sensex closed lower for the fifth straight day with all the major sectoral indexes recording losses. The Sensex was down 106 points at the bottom of the day's trading, at 6640.88 but closed at 6669.52, down 1.15 per cent (77.36 points) from Wednesday's close.

Nervousness at higher levels was obvious as all-round profit booking dragging the market down. Investors sold metal, consumer durables, oil and public sector company counters, which were among the biggest losers on Thursday. In the BSE Sensex basket, 28 out of the 30 scrips closed lower. The breadth of the market was also negative, with losers outpacing gainers 17:8.

The Bharti Tele-Ventures scrip was the biggest loser in the Sensex basket, falling 5.13 per cent to close at Rs 198.80, followed by HDFC Bank, down 3.56 per cent to Rs 572.65. Maruti Udyog was down 2.97 per cent to Rs 436.25, while Grasim fell 2.51 per cent to Rs 1306.30.

The two gainers in the Sensex basket are ONGC, up 0.58 per cent to close at Rs 912.85, and ICICI Bank whose scrip was up 0.15 per cent to Rs 401.30.