The Sensex Auto index dipped 3.04% and was the lead loser among the Sensex sector indices.
Maruti Suzuki India, Bajaj Auto, Tata Motors, Mahindra & Mahindra and Hero Honda Motors fell. Auto shares have been on a descending ride since 6th August due to profit booking following the latest rush stirred by vigorous July current year sales. Besides, the low monsoon will impact rural sales, which also troubled auto counters.
Mahindra & Mahindra dipped 16.64% in last 3 trading sessions from Rs.926.20 on 4th August. Maruti Suzuki India dipped 17.29% in last 3 trading sessions from Rs.1487.10 on 4th August this year.
The Sensex Auto outdid the market over the last month till 7th August increasing 17.74% as opposed to the BSE’s 5.98% increase. It had earned 48.26% as opposed to the BSE’s proceeds of 25.12%.