Sensex & Nifty : The BSE Sensex (Bombay Stock Exchange) drifted lower by 221.22 points to settle at 16,232.54 in the week under review.
The Nifty of National Stock Exchange (NSE) also slipped by 55.20 points to 4,888.05 as fear returned on the Greek crisis coupled to sell-off in banking shares after rating agency Moody’s downgraded Banking major State Bank of India (SBI). The BSE Mid-Cap and Small Cap eased by 2.78 and 2.32 per cent respectively.
The Greek government debt crisis started in late 2009, its effect was seen post 2010. The main reasons were its inherent structural weaknesses, government debt levels along with deficits. These were seriously discounted by the Greek government. A referendum was to be conducted on October 2011, whether or not Greece would accept the EU bailout package.