The stock markets, which had opened in the green on rate cut hopes, tumbled after the monetary policy announcement.
Data shows of the 385 companies, which had announced their latest shareholding, fund houses cut their stake in about 200.
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, answers your mutual funds-related queries.
ICICI Bank topped the Sensex gainers' chart, spurting 5.09 per cent, followed by L&T, Bharti Airtel, Vedanta and Tata Motors, rising up to 4.60 per cent.
Both the indices closed at five-month highs, led by financial services, IT and metal stocks, amid persistent foreign fund inflows.
The BSE Midcap and Smallcap indices underperformed the largecaps and ended over 1% lower.
Ambareesh Baliga of Karvy Stock Broking says he would be comfortable with a 800-1000-point correction to start buying into the markets.
The markets have opened on positive note despite of worries in Middle East countries and mixed trade in Asian markets
In line with Sensex, the broader indices also saw hefty losses. Large cap index tumbled 0.79 per cent, midcap 0.87 per cent and smallcap 0.57 per cent.
The 30-share Sensex ended down 69 points at 28,192 and the 50-share Nifty closed 20 points lower at 8,551.
In the broader market, the BSE Midcap index bucked the trend to gain 0.3%
BSE Midcap and BSE Smallcap outperformed the frontline indices to gain 0.2% and 0.3%
Mixed global cues and decline in crude oil prices further dent the sentiments.
Asian Paints was the top gainer after the paints major posted robust first quarter earnings.
8 out of 12 sectoral indices closed in red with BSE IT and Healthcare indices losing 0.5%.
The rupee fell to a two-year low of 64.84 against the US dollar.
Earnings growth is expected to accelerate as lingering toxic effects of note ban ease off and GST settles down. However, stock valuations are high and that means market is also overdue for correction, says Devangshu Datta.
The benchmark BSE Sensex reclaimed the 28,000 mark, spurting by 409 points or 1.4% at 28,114 and Nifty settled above the 8,500 mark at 8,532, gains of 111 points.
Positive cues from the global market front aided the rally.
The FMCG index gained more than 1% on the back of stellar gains in ITC.
Nifty, which has struggled around 8550-8560 levels managed to blast past this resistance and close above the psychological mark of 8600.
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, will answer your queries.
Sensex in green, JSW climbs higher.
