Mumbai: The Bombay Stock Exchange (BSE) Sensex today fell by 145 points in volatile trade as investors squared up positions in derivatives ahead of the expiry of May contract amid weak global cues.
Terming the roll over of positions to next series as normal, market players said operators and retail investors generally follow this process to avoid margin calls.
The Sensex opened weak and gradually moved downward to the intra-day low of 14,174.05. It later ended at 14,218.11, a net fall of 145.15 points or 1.01% from yesterday’s close of 14,363.26.
The broader S&P CNX Nifty of the National Stock Exchange (NSE) dropped by 41.30 points or 0.97% to close at 4,204.90 from previous close of 4,246.20.
Taking a cue from weakness in Asian markets, Foreign Institutional Investors (FIIs) and domestic funds resorted to selling pressure while operators were engaged in roll over of outstanding positions in derivatives.
Some brokers, however, attributed heavy selling pressure at the fag end of session to speculation that the NSE may impose extra margins on derivatives positions.
Top heavyweight Reliance Industries, which has remained in the limelight in the last couple of weeks, bore the brunt of selling pressure and fell sharply.
Other heavyweights like SBI, Tata Steel, REL, Reliance Comm, HDFC Bank, HDFC, ACC, Bharti Airtel and L&T also showed substantial losses due to the sell-off.
NTPC, however, rose on keen buying interest.
The market breadth remained negative with 1,527 losers against 1,027 gainers of the total 2,646 traded shares.
The trading volume fell sharply to Rs4,458.35 crore from Rs5,316.04 crore on Wednesday. Reliance Capital recorded the highest turnover of Rs247.19 crore followed by RIL (Rs147.63 crore), Advanta (Rs133.08 crore), ICRA (Rs127.88 crore) and Divi’s Lab (Rs110.05 crore).
The broad-based BSE-100 index dropped further by 62.04 points to 7,305.63 from previous close of 7,367.67.
The BSE-200 index and the Dollex-200 were quoted down at 1,729.80 and 710.04 at close compared to previous close of 1,743.35 and 715.39 respectively. The BSE-500 Index moved down by 39.23 points to 5,527.07 from last close of 5,566.30 and the Dollex-30 ended lower at 2,877.97 from 2,906.49.
RIL dipped by Rs30.35 to Rs1,725.40, SBI by Rs20.95 to Rs1,284.85, HDFC by Rs46.35 to Rs1,754.95, HDFC Bank by Rs21.60 to Rs1,089.60, REL by Rs19.30 to Rs551.15, Grasim by Rs37.50 to Rs2,466.95, ICICI Bank by Rs6.90 to Rs909.65, Tata Steel by Rs27.30 to Rs631.60, Maruti Udyog by Rs4.15 to Rs810.95, ONGC by Rs9.85 to Rs902.80, Reliance Comm by Rs16.75 to Rs493.75, ACC by Rs28.90 to Rs857.95, Bharti Airtel by Rs13.20 to Rs836.00, Hero Honda by Rs16.75 to Rs676.95, L&T by Rs28.65 to Rs1,701.60, Ranbaxy Laboratories by Rs7.80 to Rs381.70, TCS Ltd by Rs8.40 to Rs1,223.90, BHEL by Rs9.40 to Rs2,708.30, Dr Reddy’s Lab by Rs5.55 to Rs649.45 and Wipro by Rs3.20 to Rs531.90.
However, NTPC firmed up by Rs6.70 to Rs162.35, Satyam Computer by Rs3.75 to Rs456.00, Infosys Tech by Rs19.45 to Rs1,936.60, HLL by Rs2.80 to Rs201.25 and Tata Motor by Rs4.05 to Rs712.