Mumbai, Aug 8 - Though benchmark indices touched a 14-month high this week, continued selling pulled them down 3 percent from their last weekly close, as the government voiced concerns that the revival of the economy may be hampered due to deficient rains.

Bourses across the world touched highs not seen in 9-10 months, mainly backed by improved corporate earnings and a positive job market report in the US.

But then, the 30-share sensitive index (Sensex) of the Bombay Stock Exchange (BSE) fell 510.07 points or 3.26 percent over previous Friday's close and ended trade at 15,160.24 points.

The broader S&P CNX Nifty of the National Stock Exchange (NSE) followed the Sensex, moving down 3.34 percent from its last weekly close to end at 4,481.4 points.

Both Sensex and Nifty had touched a 14-month high Monday.

Mid-sized companies in terms of market capitalisation did no better with the BSE's midcap index closing 2.47 percent lower. However, smaller companies lost less with the BSE smallcap index going down 0.19 percent.

Data with markets watchdog Securities and Exchange Board of India (SEBI) showed that foreign funds were net buyers during the week, having bought scrips worth $154 million.

Indian equities started the week with a bang, with both indices rising smartly. While the Sensex ended Monday with gains of 253.92 points or 1.62 percent at 15,924.23 points, the Nifty moved up a similar 1.6 percent to 4,711.4 points.

Consolidation set in Tuesday, with the bulls stalling their buys and booking profits. The Sensex ended trade on a low, moving down 93.25 points or 0.59 percent to 15,830.98 points. The Nifty, too, shut shop in the red at 4,680.