Markets shed over one per cent

Indian bourses turned into a consolidation mode after nearing crucial 16,000 resistance.

Indian bourses turned into a consolidation mode after nearing the crucial 16,000 resistance as both the benchmark Sensex and Nifty shed more than one per cent in the week after global markets turned vulnerable to the Chinese counterpart.

Analysts said the market is expected to consolidate at current levels in the absence of any major trigger and once breached the 16,000 strong resistance,it may get a rally.

India’s industrial production data and monsoon rains,which has shown signs of revival in the past few days,apart from global trend will influence the domestic markets.

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In the week till Sep 5,after a surge of 291 points on Friday,the Bombay Stock Exchange 30-share barometer ended the week lower at 15,689.12,registering a net fall of 233.22 points or 1.46 per cent from its last weekend’s close.

The broader 50-share Nifty of the National Stock Exchange also finished the week down 51.95 points or 1.10 per cent at 4,680.40 from its previous weekend’s close.

Foreign Institutional Investors pulled out Rs 904 crore in the initial four days of the week under review. They had pumped in more than Rs 4,900 crore during August.

On the global front,the US stocks scored impressive gains on Friday despite the unemployment rate jumped to a 26-year high of 9.7 per cent in August.