Sensex ends 100 points lower, Nifty gives up 10600 ahead of RBI policy meet outcome

Mumbai, Jun 5: Volatility was the theme of the day on D-Street on Tuesday as investors looked to tread with caution. This is especially ahead of Indian central bank’s meet outcome on interest rates on Wednesday.
Benchmarks continued to slip for the third day in a row, with the Nifty managing to give up 10,600, while the Sensex too slipped below 35,000-mark. The 30-share index closed over 100 points lower.
The volatile session was marked by the fact that the market began on a flat note and then went on to extend losses in the afternoon. The Sensex lost over 200 points during the session, but then indices in the last hour trimmed their losses.
While RBI policy outcome had an affect on stocks, investors were also likely to have been spooked by BSE’s act to put 109 stocks under enhanced surveillance.
Among the 109 companies put under the Additional Surveillance Measure framework are — HEG Ltd., Bombay Dyeing & Manufacturing Company, Dilip Buildcon, GTL Infrastructure, Indiabulls Ventures, Jaypee Infratech, Radico Khaitan and Rain Industries. The framework shall be in conjunction with all other prevailing surveillance measures being imposed by the exchange from time to time, BSE said. Midcaps were likely to have been hit on the back of this announcement. The index fell almost fell 2 percent intraday, before erasing some of those losses.
Among other weaker segments were IT, metals, pharmaceuticals as well as infrastructure names.
Among stocks, Biocon erased all the gains seen post Pegfilgrastim nod as it slipped 14% from highs.
Shares of NBCC was down around a percent even as the company bagged an order worth Rs 1,138 crore in Himachal Pradesh.
Unichem Labs, meanwhile, followed the trend for major pharma stocks on Tuesday. The stock ended over 3 percent lower even after it received an establishment inspection report (EIR) for its Ghaziabad unit from the US drug regulator.
Hindustan Unilever’s shares have ended flat after gaining around half a percent intraday as the company announced an integration of Foods & Refreshment categories from July 1.