Sensex snaps winning streak

SUNDAR SETHURAMAN 

Mumbai, 21June 

Benchmark Sensex snapped asix-day winning streak on Friday amid frenetic selling by foreign portfolio investors (FPIs) and losses endured by index heavyweight Reliance Industries (RIL). The 30-share blue-chip index finished at 77,210, after declining 269 points, or 0.4 per cent, while the Nifty ended the session at 23,501, down 66 points, or0.3percent. 
During the preceding six trading sessions, the Sensexadded 1,022 points, or1.34 per cent. Itclosedata fresh record high during the previous five consecutive sessions amid buying support from foreign funds and rising optimism about economic growth prospects. 

Despite the latest decline, the Sensex ended the week with a gain of 0.3 per cent and the Nifty added 0.2 per cent. Experts said profit booking amid weak global cues weighed on market performance. However, concerns about valuations and the fallout from French President Emmanuel Macron's decision to call a snap election weighed on the mind so finvestors. The lesser-than-expected Eurozone manufacturing numbers also perturbed investors. The snap pollin France has left investors worried that an economic rebound will be impacted if far-right leaders win the elections. 

On Friday, FPIs were the net sellers worth31,790 crore. During the week, FPIs bought shares worth10,210 crore. Markets have recovered sharply after dropping 6 per centonthe election result day. Investor sentiment has been boosted by the National Democratic Alliance (NDA) partners' support for Prime Minister Narendra Modi, which ensured continuity in governance. Additionally, recent upgrades to India's economic growth outlook have increased appeal among foreign investors. Going forward, the earnings season and the Union Budget will determine the market trajectory.