Sensex lets go of smart early gains, slides 270 points

The overnight pullback rally proved short-lived as the benchmark BSE Sensex after reclaiming the 27,000 mark gave up early gains due to mid-session profit booking, quoting 270 points lower at 26,570.48, despite solid
global cues. 

A faltering monsoon making marginal progress after a late onset amid uncertainty about upcoming macro data - IIP for April and CPI for May tomorrow - also weighed. 

Auto, banking, IT, power, refinery and capital goods stocks saw heavy selling. 

Blue-chips like RIL, Tata Motors, ICICI Bank, SBI, HDFC Bank, Infosys, M&M, Axis Bank and TCS were trading lower. 

The 30-share gauge resumed strong, in line with firm Asian cues, on the back of an overnight sharp rise on the Wall Street following optimism that the Greece may be close to a deal with creditors. 

Increased buying after the current account deficit (CAD) narrowed sharply to $1.3 billion, or 0.2% of GDP, in the fourth quarter too helped. 

The Sensex touched a high of 27,000.14, up 159.64 points, or 0.59%, before slipping to 26,570.48 at 1132 hours, a loss of 270.02 points, or 1.01%. 

Yesterday, it had jumped 359.25 points, or 1.36%. 

Similarly, the broader NSE Nifty moved in a range of 8,163.05 and 8,062.05 before trading at 8,036.80 at 1132 hours, a fall of 87.65 points, or 1.08%. 

Among Asian markets, Hong Kong, Japan, Singapore and South Korea turned higher while China and Taiwan moved down.