Sensex Books Worst Week in 2 Months

The BSE Sensex closed nearly 400 points lower at 62,180 on Friday, dropping 1% on the week to mark its poorest week in over two months as concerns of a slowing economy pressured growth stocks in Mumbai.

Tech shares tanked, led by a 6.5% decline for HCL Technologies in the session after the firm warned of incoming furloughs and spending cuts by clients in the US, driving its CEO to state the revenue growth outlook will likely be at the lower end of the company’s latest forecasts for the current financial year.

Tech Mahindra and Infosys followed with each losing more than 3%.

On the other hand, banks softened the blow and closed sharply in the green, led by a 0.9% increase for the State Bank of India.

In the meantime, market consensus for domestic inflation to be released next week pointed to an inflation rate of 6.4%, set to remain above the RBI’s upper target of 6% for the 11th straight month.