Sensex ends below 17K

The markets declined for the fifth straight session on Friday with the benchmark Sensex dropping over 340 points to close below 17k level as a further rise in inflation dampened the trading sentiments.

The 30-share Sensex on the Bombay Stock Exchange ended the day at 16,737.07, a loss of 343.58 points, or 2.01 per cent, from its previous close.

The BSE barometer has shed 863 points, or 5.0 per cent, during the week.

The broader 50-share S&P CNX Nifty of the National Stock Exchange also fell further by 99.10 points or 1.95 per cent to close at 4,982.60.

Marketmen said inflation, which rose to 42-week high of 7.61 per cent for the week ended April 26, and rising crude oil prices were the key factors behind today`s sharp slide.

Global oil prices hit yet another fresh record high at 124.73 dollars a barrel in European trade this afternoon.

Certain other factors such as weak global cues, worries about widening trade deficit, which might lead to slowdown in capital inflows, impacted the market sentiments, they added.

With selling pressure spilling over a wide front, all sectoral indices, barring FMCG index, closed lower. FMCG sector index was marginally better.

India`s largest private sector company Reliance Industries took a hit of 5.19 per cent on concerns over high oil global prices.

Bank shares were also came under heavy selling pressure even as bankers discounted fears of any increase in interest rates. SBI was down by 3.13 per cent, while HDFC Bank closed lower by 3.74 per cent. ICICI Bank also lost 1.94 per cent.