Mumbai: The Indian bourses mirrored the global slide, triggered by US Federal Reserve's monetary stimulus exit plan, and tanked sharply during the week amid heavy off-loading by foreign funds and operators even as the rupee touched new lows against the dollar.
The S&P BSE benchmark Sensex dropped for a third week in a row, losing 404 points to end at 18,774.24 on Friday. Foreign funds sold shares worth Rs 5,029.80 crore during the week, including the provision figure of June 21.
The Sensex resumed higher at 19,249.90 and moved up further to 19,383.61 amid RBI keeping key rates unchanged at its June 17 review meet, a move which was on expected lines. However, the key index tanked 526 points on Thursday, its biggest single-day fall in nearly two years, on massive off-loading of shares following US Fed signal to exit monetary stimulus plan. A sharp fall in rupee, which hit a lifetime low of nearly 60 per dollar in mid-week, also spooked the markets.
Global markets went into a tizzy after Fed Chairman Ben Bernanke said the central bank was likely to slow its bond- buying programme this year and end it in 2014. The Fed's USD 85 billion-a-month scheme offered easy money for markets, said traders.
The 30-share Sensex finally ended at 18,774.24, showing a loss of 403.69 points, or 2.10 percent, amid Finance Minister P Chidambaram' assurance that there was no need to panic over rupee depreciation and the RBI will take necessary action to stem the Indian currency's slide. The widely-tracked BSE index has lost 986.06 points, or 4.99 percent, in the last three weeks.


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