Mumbai: The BSE Sensex extended losses to more than 1% on Wednesday afternoon, as investors booked profits on a 4% rally in the previous session, ahead of exit polls at the end of month-long national elections.
At 12:03pm, the 30-share BSE index was down 1.2% at 12,012.93 points, with 24 stocks declining, after opening up 0.4%.
The 50-share NSE index was down 1.3% at 3,633.85.
Selling in IT, banking and metal counters weighed on the domestic bourses with the benchmark Sensex dipping 47 points in the morning trade, paring its early gains, amid a 16-year low industrial production data for March and uncertainty over formation of government.
Despite firm Asian cues, the Bombay Stock Exchange 30-share barometer fell by 46.77 points or 0.38% to 12,111.26 points at 10:15am. The Sensex which opened over 53 points higher on increased capital inflow by foreign fund, as investors turned cautious and started booking profits.
Despite the dip in the broader market, the realty and consumer durable counters attracted good buying support.
On Tuesday, the Sensex registered its second biggest gains of 475 points in absolute term in 2009.
Operators seemed to be cautious and booked profits ahead of the general election results due on 16 May, a broker said.
The 50-share Nifty of the National Stock Exchange also declined by 13.85 points or 0.38% to 3,667.25 at 10:15am, as against last close.
The Asian indices were holding up their gains and was trading up between 0.33 and 1.09% this morning. Foreign Institutional Investors (FIIs) continued their buying spree and pumped in Rs452.18 crore on 12 May.
Fall in the India’s industrial production (IIP) to 2.3- a 16-year low mark- per cent for March this year also weighed on the bourses.