Sensex shrugs off positive GDP numbers, sinks 137 points

The 50-share NSE Nifty too lost 34.50 points, or 0.33 at 10,458.35 after shuttling between 10,525.50 and 10,447.15.

The benchmark BSE Sensex dropped by over 137 points on Thursday to close at 34,046.94 as global sell-off triggered by US Fed rate hike fears rode roughshod over the positive economic growth data for the third quarter.

Banking stocks, particularly state-run were among the biggest laggards on unabated nervous off-loading by participants amid growing concerns over a spate of fraud cases.

Select auto stocks, however, were in some demand on the back of encouraging February sales numbers.

The 30-share benchmark, after scaling a high of 34,278.63 in early deals, slipped into the negative zone to touch 34,015.79, before settling at 34,046.94, down 137.10 points, or 0.40 per cent.

The 50-share NSE Nifty too lost 34.50 points, or 0.33 at 10,458.35 after shuttling between 10,525.50 and 10,447.15.

For the week, the flagship Sensex recorded a fall of  95.21 points, or 0.27 per cent, while the NSE Nifty lost 32.70 points, or 0.31 per cent.

Showing signs of recovery, the Indian economy recorded a five-quarter high growth of 7.2 per cent in the October-December quarter on good showing by key sectors like agriculture, construction and manufacturing, data released after markets hours yesterday showed.

Photograph: Punit Paranjpe/Reuters