Mumbai, Aug 8: With the annual inflation crossing the 12 per cent mark for the first time in 13 years for the week ended July 26, the 30-share Sensex, benchmark of the Bombay Stock Exchange (BSE) fell by 117 points at 14,999.92 in early trade after heavy selling by funds.
National Stock Exchange (NSE)'s Nifty fell 31 points to 4492.95. The index touched a high of 4540.75 and low of 4480.80 so far. Inflation has more than doubled since late February mainly on soaring crude oil prices, prompting the Reserve Bank India to tighten the annual monetary policy aggressively. Stockbrokers said overnight weakness at US markets was a dampening factor besides the rising inflation.
Inflation based on wholesale price index (WPI) rose to 12.01 per cent, slightly higher than the previous week 11.98 per cent.
Oil and Natural Gas Corporation (ONGC) gained by 2.90 per cent to Rs 1052.90. It was the top gainer from the Sensex pack. Cipla was up by 2.13 per cent to Rs 232.30, Tata Steel up 1.09 per cent to Rs 649.80 and Ranbaxy Laboratories up 0.86 per cent to Rs 508.30.
However, Tata Motors lost 2.42 per cent to Rs 433.45 on 34,203 shares. It was the top loser from the Sensex pack. Followed by Maruti Suzuki India, which was down by 1.14 per cent to Rs 660.90 and Mahindra&Mahindra down 2.10 per cent to Rs 563.80.