The trend was visible in the early trade on Thursday as investors indulged in trimming their bets after the minutes of the US Federal Reserve's September meeting indicated a possible rate hike this year.
For the second straight week, the Sensex rose, notching up a significant gain of 528.34 points, or 1.59 per cent. The Nifty was up 129.45 points, or 1.25 per cent, during the week.
The 30-share Sensex closed up 34 points at 27,831 and the 50-share Nifty ended up 15 points at 8,356.
'Long-term retail investors should not worry about these sharp dips and jumps if they have chosen their stocks wisely.' 'Short-term volatility is a given and a rise and fall of two-three per cent should not worry them.'
The Indian stock market had rallied through the first fortnight of October but it gave back the bulk of its gains in the second half.
Benchmark share indices ended flat amid lack of investor participation even as gains in IT majors ahead of their second quarter earnings helped capped downside.
Dream rally: Investors' wealth doubled in 5 years in India's equity market on Friday.
Without factoring in the rupee-dollar exchange rate, the index has been touching new all-time highs repeatedly.
Experts believe the market will fall between 1 and 3%.
Oil and gas sectot may not put up good numbers in Q4.
State Bank of India was the biggest loser in the Sensex pack, shedding 1.69 per cent, followed by Asian Paints, Kotak Mahindra Bank, HCL Technologies, Reliance Industries, Wipro, IndusInd Bank, Infosys, Power Grid and HDFC twins. In contrast, Nestle, Maruti, Bharti Airtel, Tata Motors, ITC and Hindustan Unilever were among the gainers.
Riding on a stock market boom since 2009, India Inc's chief executives have been able to salvage a lot of lost pride in their second innings.
Tata Steel, SBI, L&T and Sun Pharma advanced 2-5% each.
Analysts say those taking exposure through stocks could look at firms focused on domestic business
The 30-share Sensex closed down 114 points at 28,622 and the 50-share Nifty ended down 37 points at 8,686.
Other top losers in the Sensex pack included Bharti Airtel, Asian Paints, TCS, HCL Tech, Tata Steel, SBI, IndusInd Bank and Hero MotoCorp, declining up to 3.28 per cent.
Ajit Mishra, vice president, Research, Religare Broking, answers your queries:
The 30-share Sensex ended higher by 30 points.
The 30-share Sensex dropped 298 points to end at 27,209 and the 50-share Nifty has lost 93 points to end at 8,174.
The wider Nifty hit a low of 10,033.35 before finishing at 10,044.10, down 74.15 points or 0.73 per cent.
SBI, PNB, Bank of Baroda, Canara Bank, Dena Bank, Central Bank of India ended down 3%-12% each.
The reason is believed to be a 19% increase in interest cost.
Ashok Leyland, ITD Cementation India have more than doubled.
The government has not set up any committee to probe allegations a US short seller labelled against the Adani Group, but stock market regulator SEBI is investigating market allegations against the group, the Lok Sabha was informed on Monday. A separate investigation into imports of Indonesian coal by the conglomerate hasn't reached finality, Minister of State for Finance Pankaj Chaudhary said. Lok Sabha saw several questions being put by MPs to the government on the Adani issue, which were replied through written responses by the minister.
ICICI Bank extended yesterday gains, rising 10% in two trading sessions
The country's mutual fund industry posted five per cent growth in average assets under management (AUM) to touch all-time high of Rs 8.68 lakh crore in May on the back of strong inflows into money market and income funds.
Benchmark share indices ended lower for the third straight session as investors turned cautious amid tensions in Iraq even as consumer durables shares stole the limelight tracking rally in gold prices.
Your financial goals are of utmost importance and the tax saving is an added incentive, advises Dwaipayan Bose.
Fear factors weights on markets, Sensex, Nifty struggle to keep pace.
The US FOMC concludes its two-day meeting today while the Bank of Japan will start its two-day meeting today.
Sensex remained volatile through the day.
Top gainers from the Sensex pack are Asian Paints, Bajaj Auto, ITC, NTPC, L&T and HDFC, all up 2% each
Nifty 50 firms' net profit estimated to grow by a modest 3.1% in Q2, reports Krishna Kant.
FII stance, progress of monsoon, crude oil and rupee movement are likely to dictate the trend.
Shares of rate sensitive sectors such as realty, infrastructure, banking and automobiles ended higher ahead of the Reserve Bank of India (RBI) mid-quarter policy review on June 17.
Event-based volatility could rise in the near future, increasing arbitrage opportunities.
Average monthly searches for 'bull market' have gone down significantly from May-June peak.
The 30-share Sensex ended higher by 46 points at 26,360 and the 50-share Nifty gained 16 points at 7,891.
The consolidated entity can target good growth FY18 onwards, analysts say.
