Market participants ignored the sharp fall in current account deficit and positive global cues while remaining cautious ahead of macroeconomic data -- IIP for April and CPI for May, traders said.

Yesterday, the RBI had cited that Current Account Deficit fell sharply to its lowest level in a year at USD 1.3 billion or 0.2 percent of GDP in the fourth quarter of 2014-15.

"Low visibility of capex recovery and slow credit growth are...reasons for investors lightening their overweight stance on Indian equities," said Hitesh Agrawal - Head Research, Reliance Securities. Traders added investors preferred to book profits in stocks that rebounded in previous session.

The 30-share gauge resumed strong today to hit the 27,000-mark and touched day's high of 27,000.14. However, on emergence of profit-booking it slumped to 26,348.93 before closing 469.52 points or 1.75 percent down at 26,370.98.

Sensex had ended at 26,429.85 on October 20, 2014. The broader NSE Nifty slipped below the important 8,000 and finally settled 159.10 points or 1.96 percent lower at 7,965.35. Intra-day, it moved between 8,163.05 and 7,958.25.

Latest News  from Business News Desk