Sensex falls 109 points on liquidity issue

Mumbai: The Sensex settled with losses in a choppy session on Wednesday as buying sentiment remained subdued amid liquidity concerns in the NBFC space.

Investors also remained on the sidelines ahead of US Federal Reserve’s policy outcome as well as expiry of September derivative contracts on Thursday, brokers said.

On the global front, crude oil traded above $81 per barrel while the trade spat between the US and China showed no signs of easing.

The Sensex tumbled 109.79 points to 36,542.27, and the broader NSE Nifty shed 13.65 to close at 11,053.80.

IT and FMCG counters came under robust selling pressure, while stock-specific action was seen in banking and financial service sectors.

The Sensex touched a high of 36,938.74 at the outset after domestic investors pressed on with buying. However, it soon turned choppy and hit a low of 36,357.93. It finally closed lower by 109.79 points, or 0.30 per cent, at 36,542.27.

The Nifty closed lower by 13.65 points, or 0.12 per cent, at 11,053.80. Intra-day, it shuttled between 11,145.55 and 10,993.05.

On a net basis, foreign investors sold shares worth Rs 1,231.70 crore, while DIIs bought equities to the tune of `2,284.26 crore, as per provisional data.