Vishal Sikka's resignation as Infosys CEO today dealt a big blow to stock indices as the Sensex plunged 271 points while the Nifty managed to end above 9,800. The sharp fall in Infosys scrip dragged down the market.
The stock burnt its fingers as the biggest loser -- sinking as much as 9.60 per cent to Rs 923.10 -- after the surprise announcement. Intra-day, it hit a low of Rs 884.40. Moreover, a deadly attack in Spain and rising concerns over the fate of US President Donald Trump's economic agenda cast a long shadow, analysts said.
After three straight sessions of gains, the Sensex opened lower and dropped further before ending down 270.78 points, or 0.85 per cent, at 31,524.68. It had rallied 581.87 points in the previous three sessions. The 50-share Nifty too closed lower 66.75 points, or 0.67 per cent, at 9,837.40. During the session, it shuttled between 9,783.65 and 9,865.95.
For the week, both Sensex and Nifty recorded a gain of 311.09 points, or 0.99 percent, and 126.60 points, or 1.30 per cent, respectively. This is markets' sixth weekly rise in seven.
Persistent capital outflows from foreign institutional investors, which have been selling for the past six straight days, and the end of the earnings season amid absence of any positive trigger hastened the downfall.