Sensex crashes 390pts to end below 20K
The BSE benchmark Sensex on Thursday lost 388 points to fall below 20,000 level, amid weak global trends after US Federal Reserve hinted at scaling down monetary stimulus and poor factory output signs in China.
Extending losses for the fourth straight day, the 30-share index nosedived by 387.91 points, or 1.93 per cent, to close at 19,674.33, with all the sectoral indices, led by realty and capital goods stocks, in the negative zone. The index had lost nearly 224 points in the previous three sessions.
Similarly, the broad-based National Stock Exchange index, Nifty fell below 6,000 level by losing 127.45 points, or 2.09 per cent to 5,993.90.
Hence, dragged down by massive selling in the stock market, investor wealth worth over Rs one lakh crore was wiped out.
Due to the jittery condition in the market, Finance Minister P Chidambaram had to assuage the stock markets by asserting that there was no need for any ‘nervousness’ and the participants should read the situation correctly rather than be influenced by external developments.