The benchmark BSE Sensex today slipped by 215 points to end at 27,011.31, its second-lowest level of the year, while Nifty ended below the 8,200-mark on heavy selling in FMCG, auto sectors over worries of corporate earnings growth and persistent foreign fund outflows.
On its third straight weekly fall, the markets were bogged down by cautious operators booking profit on the last day of April contracts.
The Sensex and Nifty had closed at 26,908.82 and 8,102.10, respectively, on January 7.
However, fag-end buying washed out part of its mid-session losses as Sensex managed to close above the 27,000-mark, while Nifty above 8,150-level.
Continued selling by foreign funds on tax issues, below normal monsoon forecast and disappointing Q4 earnings so far forced participants to sell their long-term holdings rather than roll over to the May series, traders said.
The 50-share Nifty tumbled below the 8,200-level by falling 58.25 points or 0.71 per cent to close at 8,181.50. During the session, it moved between 8,229.40 and 8,144.75.
The BSE 30-share barometer after resuming a shade higher at 27,242.05 fell back below the 27,000-mark and gradually moved down to a low of 26,897.54 before concluding at 27,011.31, a fall of 214.62 points or 0.79 per cent.
The gauge had lost 170.45 points in yesterday's volatile session.
Shares from metal, FMCG, auto, IT and teck suffered the most while realty, refinery and banking indices gained.
"Profit-booking led with expiry and negative flow from US Fed has impacted the market today. Over the medium-term, flow from FIIs (who are net sellers today), extent of downgrading FY16 earnings and news from Budget session will decide the trend," said Vinod Nair, Head-Fundamental Research, Geojit BNP at Paribas Financial Services.
The Bombay Stock Exchange and the National Stock Exchange will remain closed tomorrow on account of Maharashtra Day.
