India’s benchmark index, Sensex lengthened its losses to the 7th straight week by declining over 7%. The declension was mainly because of heavy selling activity by overseas investors, weak worldwide markets, rising inflation and surging energy prices.

Foreign capitalists preferred to take away funds from Indian stock markets as they felt that more pain is left in the market because of global price increase and expectation of retardation in global economy.

The stocks including ACC, Maruti Suzuki, Grasim, Reliance Energy and Tata Steel led the fall.

The 30-share benchmark index, Sensex lost 1,117.29 points to 13,454.00 during the week ended July 04 while the broad based NSE Nifty fell 331.55 points to 4,016 in the same period.

BSE mid-caps and small-caps declined the most, compared with heavyweights by 5.31% and 7.57% respectively over the week.

For the week ended June 21, inflation rate climbed up to 11.63 percent, as against 11.42% during the last week. The wholesale price index-based inflation has continued its rise regardless of attempts being taken by the administration and the central bank to tame prices through fiscal as well as monetary measures.

Giving his viewpoint on the stock market P.K. Agarwal, president - research, Bonanza Portfolio said that next week’s trading will be impacted by political events - Centre and Left’s final decision on support to UPA Government.

The major losers’ during the week included Associated Cement Companies (ACC), Maruti Suzuki India, Grasim,  Reliance Energy, Tata Steel, Tata Motors, Ambuja Cement, ICICI Bank, RComm and ITC.