Markets down on fear of interest rate hike
On fears that the interest rates will again be hiked the RBI, both the markets fell down. Benchmark BSE went down by 132 points.
It is expected that the apex bank will raise the rates to the tune of 25 basis points to be able to curb inflation and also to be able to meet the deadline for sustained selling of funds ahead of the August deadline.
Sensex ended at 18,179.64. The weak global cues also did their job and pushed the markets further. Nifty was also down and ended at 5,462.35, a fall of 42.75 points. It touched an intra-day low of 5,452.55.
Investor sentiments were completely lost and so the investor-friendly sectors like the realty, auto and consumer durables were the worst suffer.
While the realty index in Sensex was down by 3.16 per cent to end at 3,490.10, it was the consumer durable sector which suffered the most. It lost 1.63 per cent to 5,871.35.
DLF was the biggest loser in realty and shares of Titan Industries, VIP Industries and Blue Star suffered the worst in consumer durable.