Indian equities dip on inflation woes

Business Materials 6 November 2008 15:42 (UTC +04:00)

Indian share prices dipped by more than 3 per cent Thursday on heavy selling by foreign funds and retail investors tracking an overnight slide in United States markets, reported dpa.

An unexpected rise in inflation figures also pushed down shares. Metal and blue-chip stocks were among the big losers.

The benchmark 30-share Sensex of the Bombay Stock Exchange ended with a loss of 385.79 points, or 3.81 per cent, closing at 9,734.22. The Sensex opened weak at 9,755.03 and hit an intra-day low of 9,635.22.

The broader 50-share S&P CNX Nifty of the National Stock Exchange dipped by 102.3 points to close at 2892.65, about 3.42 per cent below its previous close.

Inflation, linked to a wholesale price index, rose to 10.72 per cent in the week ended October 25 compared to 10.68 per cent for the previous week, going against projections of lower figures. The inflation figure was below 4 per cent the same week in 2007.