Sensex drops 95 points; banking, PSU stocks slip

The Sensex lost over 95 points and the Nifty closed below the 10,700-mark on the on the first session of the new June derivaties on Friday.

The 30-share BSE index closed lower by 95.12 points, or 0.27 per cent, at 35,227.26 after shuttling between 35,438.22 and 35,177.35 on alternate bouts of buying and selling.  It had rallied 416.27 points on Thursday on optimistic buying by participants ahead of GDP numbers.

The NSE Nifty dropped 39.95 points, or 0.37 per cent, to finish at 10,696.20. During the session, it moved between 10,764.75 and 10,681.50.

Despite robust GDP numbers for the January-March quarter amid sustained foreign fund outflows, fall in banking stocks offset the earlier gains. Other Asian markets too suffered on renewed global trade war worries.

Markets started on a hopeful trend after data showed that India's January-March 2018 GDP growth soared to a seven-quarter high of 7.7 per cent, spurred by robust performance of manufacturing, construction and service sectors, helping it retain the tag of the fastest growing major economy.

However, early gains were erased after selling emerged in the later part of the session.

Both the Sensex and Nifty, however, registered gains for the week.  The Sensex climbed 302.39 points, or 0.87 per cent, while the Nifty gained 91.05 points, or 0.86 per cent, during this week.

(With PTI inputs)