Sensex tumbles nearly 250 points, Nifty ends below 11,900-mark; Yes Bank, PowerGrid, IndusInd among top losers
Market benchmark BSE Sensex declined over 247 points on Tuesday to close at 40,239 as heavy selling emerged mainly in power, oil & gas and IT stocks amid a strengthening rupee
The 30-share gauge opened strong at 40,588.81, but soon lost momentum to slip into the negative territory
It finally closed 247.55 points or 0.61 percent lower at 40,239.88
On similar lines, the 50-scrip NSE Nifty fell 80.70 points or 0.68 percent to finish at 11,856.80
Mumbai: Benchmark indices spiralled lower on Tuesday, dragged by widespread selling in bank, energy and IT stocks, as investors booked profit at higher levels amid lacklustre macro and global cues.
The 30-share BSE Sensex, after a positive opening, lost momentum throughout the session. It finally closed 247.55 points or 0.61 percent lower at 40,239.88.
On similar lines, the 50-scrip NSE Nifty fell 80.70 points or 0.68 percent to finish at 11,856.80.
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Participants were eager to take money off the table amid lack of positive news on the growth front, while global cues were weak due to the US-China tensions, traders said.
Yes Bank was the biggest loser in the Sensex pack with 10.05 percent decline, followed by PowerGrid, IndusInd Bank, NTPC, ITC, TCS, Axis Bank, Hero MotoCorp, M&M and HCL Tech, which lost up to 2.66 percent.
On the other hand, Bajaj Finance, HUL, HDFC Bank, ICICI Bank, and Bajaj Auto gained up to 1.06 percent.
"Selling in domestic market accentuated today as investors turned more cautious over double whammy of inflationary pressure and weak growth.
"Another factor which is impacting market is the likelihood of maintenance of status quo on rates by both US Fed and ECB. Given domestic premium valuation of key indices, market is highly susceptible for near term volatility," said Vinod Nair, Head of Research at Geojit Financial Services.
All the BSE sectoral indices finished in the red.
BSE Utilities took the biggest hit with 2.16 percent fall, followed by power (1.83 percent), oil & gas (1.73 percent), metal (1.38 percent), basic materials (1.27 percent), IT (1.18 percent), Teck (1.12 percent), FMCG (1.11 percent) and energy (1.02 percent).
BSE Auto declined 0.79 percent after industry data showed that domestic passenger vehicle sales slipped into the negative territory once again in November due to muted demand conditions.
According to data released by the Society of Indian Automobile Manufacturers (SIAM), passenger vehicle (PV) sales declined 0.84 percent to 2,63,773 units in November from 2,66,000 units in the year-ago period.
Meanwhile, the rupee appreciated by 11 paise to trade at 70.93 against the US dollar (intra-day).
Brent futures, the global oil benchmark, slipped 0.33 percent to $64.04 per barrel.
Global equities extended their slide for the second straight day as US-China trade tensions kept sentiment subdued.
In Asia, Hong Kong dropped 0.2 percent and Tokyo ended 0.1 percent lower. Singapore and Jakarta also closed in the red. However, Shanghai gained 0.1 percent.
London's FTSE 100, Paris' CAC 40 and Frankfurt's DAX were trading lower in opening deals.
BSE Midcap and Smallcap indices fell between 0.6 and 0.8 percent. India VIX ended marginally lower. Oil and gas, pharma and consumer durables fell over 2 percent.
BSE Midcap fell over 1 percent while BSE Smallcap declined almost 3 percent. India VIX slid to 22.41 levels. Metal slid almost 4 percent, while FMCG was the biggest gainer
Metal was the biggest drag while auto was the top gainer. BSE Midcap and Smallcap indices rose around 0.5 percent. Bank Nifty inched up 0.08 percent to 33,339.00