PTI
 
Mumbai, May 12: The nine-day long record-breaking run by the Sensex during which it had gained a whopping 777 points, was arrested on Thursday when it plunged by 176.97 points to end below the 12,500 level at 12,435.41, on emergence of heavy profit-selling.

Describing the correction as a healthy sign, brokers said the market had risen so sharply since April 28 that it was necessary for it to correct at this juncture.

In highly volatile trade, the Bombay Stock Exchange (BSE) 30-share after hitting a new intra-trade high of 12,671.11, plunged to a low of 12,397.02 on heavy selloff and closed at 12,435.41, showing a steep fall of 1.40 per cent over the previous close of 12,612.38.

Meanwhile, at the National Stock Exchange (NSE) the S&P CNX Nifty fell sharply by 53.20 points to 3701.05.

Steep fall in many front line shares such as RIL, ONGC, Grasim, L&T, Satyam, SBI, Ranbaxy, Maruti, Tata Motors, Tata Steel, Tata Power, BHEL, HLL, ACC, Bajaj Auto and Hero Honda caused the index to plummet, brokers said.

Mukesh Ambani-controlled Reliance Petroleum Ltd, which got listed today, commenced with a big bang, gaining 70 per cent at Rs 101.95 per share as agaisnt the IPO (initial public offer) price of Rs 60 per share. However, it fell sharply to a low of 81.10 on heavy selling and closed at Rs 85.45.

Investors were seen selling off their shares from the Oil and Gas sector amid heavy demand for Reliance Petroleum which debuted at a significant premium of 70 per cent and shares like ONGC, BPCL, MRPL, HCPL, IPCL, GAIL, IOC, Kochi Refineries and Essar Oil closed steeply lower.