GST jitters drag Sensex down, bank scrips melt

Mumbai, June 27

A correction-bound BSE Sensex logged its biggest fall in a month, slipping below the 31,000-mark and plunging by 180 points to end at 30,958.25, as banking and PSU stocks led the decline amid lacklustre global cues and jitters ahead of GST rollout. The gauge had fallen 205.72 points on May 23.

The Nifty ended 63.55 points lower, or 0.66%, at 9,511.40. Intra-day, it cracked below the 9,500-mark to touch a low of 9,473.45 and hit a high of 9,615.40.

Sentiments took a beating as banking stocks melted following reports that the RBI has asked banks for higher provisioning for loans submitted under the insolvency process, brokers said.

Investors took to offloading their positions ahead of June expiry in the derivatives segment on Thursday and rollout of GST on July 1.

“RBI’s guideline to maintain higher provision against the loans under the insolvency process has impacted the market,” said Vinod Nair, Head of Research, Geojit Financial Services Ltd, said. — PTI