Sensex down 30 points in early trade on weak economic data

Mumbai, Aug 13: Snapping its two-day winning streak, the benchmark BSE Sensex fell over 30 points in early trade today after industrial production declined to 3.4 per cent in June and retail inflation rose to 7.96 per cent in July. The 30-share barometer fell by 30.26 points, or 0.11 per cent, to 25,850.51 with power, capital goods, realty, consumer durables and banking sector stocks leading the fall.

The index had gained 551.63 points in the previous two sessions. Similarly, the National Stock Exchange index Nifty moved down by 15.25 points, or 0.19 per cent, to 7,711.80. Brokers said selling activity emerged largely on disappointing economic data as country’s industrial production slowed to 3.4 per cent in June as against 5 per cent in May.

Besides, rising retail inflation to 7.96 per cent in July from 7.46 per cent in June, dimming rate cut hopes and a mixed trend at other Asian bourses and overnight losses on the Us markets influenced sentiments here. Among other Asian markets, Hong Kong’s Hang Seng index was down by 0.09 per cent, while Japan’s Nikkei moved up by 0.16 per cent in early trade. The US Dow Jones Industrial Average ended 0.06 per cent lower in yesterday’s trade.