The BSE benchmark Sensex has extended its losing streak for the third straight trading week, losing over 820 points as selling pressure triggered by poor second quarter earnings and a weak trend in global markets over the euro zone crisis battered stocks.
Sustained capital outflows from foreign funds also weighed on the market sentiment during the trading week to November 18.
Dealers said the selling pressure was felt mainly in realty, capital goods, power, metal, refinery, PSU and auto stocks.
Even though Cabinet has approved foreign direct investment of up to 26 per cent in the pension sector, the impact of the announcement on the market was mild.
The BSE Sensex slumped by 821.31 points or 4.78 per cent, to 16,371.51 during the week ended November 18. The Sensex has lost nearly 1,433 points, or 8.05 per cent, during the last three weeks.
The 50-share S&P CNX Nifty index also lost 263.05 points, or 5.09 per cent, to 4,905.80 during the trading week.
In a similar fashion, the BSE mid-cap index fell by 7.24 per cent, while the BSE small-cap index shed 8.61 per cent.
Among the 30 Sensex shares, 27 stocks declined and only three gained.
Infrastructure company Jaiprakash Associates was the biggest loser in the Sensex pack last week. The stock tumbled by 18.16 per cent due to its weak Q2 operating performance.
Realty major DLF also slipped by 10.51 per cent to Rs 204.35 on weak Q2 results. .
Shares of India's largest steel-maker by sales, Tata Steel, fell by 8.72 per cent to Rs 392.50 after the company's consolidated net profit fell 89.26 per cent. Tata Steel said its performance was adversely impacted by higher global raw material costs and lower average selling prices realised by Tata Steel Europe.
Index heavyweight Reliance Industries (RIL) also fell by 8.58 per cent to Rs 808.05.
Drug-maker Cipla was the top Sensex gainer. The stock jumped by 9.42 per cent during the trading week ended November 18 to Rs 313.75 on good Q2 results.
Depreciation of the rupee against the American currency also affected the market sentiment.
Meanwhile, food inflation eased to 10.63 per cent for the week ended November 5 from 11.81 per cent in the previous week, even as prices of agricultural items, barring onions and wheat, continued to rise on an annual basis.
Among the major sectoral indices, the BSE-Realty index plummeted by 11.19 per cent during the week, while the BSE-Consumer Goods index plunged by 9.99 per cent, the BSE-Power index dropped by by 9.59 per cent, the BSE-Metal index declined by 7.43 per cent, the BSE-Oil&Gas index fell by 6.86 per cent, the BSE-PSU index slipped by 6.81 per cent, the BSE-Auto index lost 6.56 per cent and the BSE-Bankex fell by 4.92 per cent.
The total turnover on the BSE and NSE rose to Rs 11,653.90 crore and Rs 50,416.20 crore, respectively, during the week under review from Rs 7,183.23 crore and Rs 30,609.46 crore in the previous week.