Profit taking, ongoing MAT issue and selling pressure in FMCG, auto and metal stocks led to key benchmark indices S&P BSE Sensex and CNX Nifty index falling 0.62 per cent and 0.55 per cent to 27,225.93 and 8,239.75, respectively, on Wednesday.
Among the sectoral indices on the Bombay Stock Exchange , the S&P BSE FMCG index plunged the most 1.63 per cent to 7,699.62.
It was followed by the S&P BSE Auto index (down 0.57 per cent to 18,529.48), S&P BSE Oil & Gas index (down 0.51 per cent to 9,169.73), S&P BSE Metal index (down 0.4 per cent to 9,960). On the other hand, the S&P BSE Realty index and S&P BSE Consumer Durables index increased 0.92 per cent and 0.82 per cent to 1,549.13 and 10,391.39, respectively.
Vinod Nair, head-fundamental research, Geojit BNP Paribas Financial Services, says, "Profit booking of smart money, FED meet on April 28-29 and MAT issue is fuelling this correction. While no rate hike is expected from FED, market would be cautious on the policy statement."
Hitesh Agrawal, head of research, Reliance Securities, says, "Profit booking in various sectors dampened the market mood today."
From the Nifty basket, share price of Axis Bank (up 4.40 per cent to Rs 558.55), Ambuja Cements (up 3.64 per cent to Rs 238.95), HCL Technologies (up 1.90 per cent to Rs 887), Wipro (up 1.78 per cent to Rs 541.75) and Sun Pharmaceuticals (up 1.62 per cent to Rs 939.80) were among the top gainers.
On the other hand, Idea Cellular (down 6.39 per cent to Rs 179.60), Bharti Airtel (down 3.86 per cent to Rs 385.30) ITC (down 3 per cent to Rs 327.40), HDFC (down to Rs 2.49 per cent to Rs 1,197.65) and ACC (down 2.27 per cent to Rs 1480.15) were among the notable losers on the Nifty.
Overall market breadth for the day remained negative and advances to declines ratio for Nifty remained 16:34 for the day. Volumes for Nifty stocks stood at stood at 1,748 lakh against 1,836 lakh registered in yesterday's trading session.
According to the website of NSDL, FIIs stood net sellers in the capital markets segment, sold shares worth Rs 1,519.35 crore.
Peer Asian markets, Nikkei 225 and Shanghai were up by 0.38 per cent and 0.02 per cent while Hang Seng was down by 0.15 per cent, respectively.