Mumbai: Equity markets buckled under selling pressure on Friday after a two-session rally as selling emerged in IT, bank and energy stocks amid a bearish trend overseas following hawkish comments from the US Federal Reserve.
A sharp drop in the rupee and unabated foreign fund outflows added to the gloom, analysts said.
The BSE benchmark Sensex tanked 714.53 points or 1.23 per cent to end at 57,197.15. The broader NSE Nifty slumped 220.65 points or 1.27 per cent to 17,171.95.
SBI was the biggest laggard in the 30-share Sensex pack, losing 3.08 per cent, followed by HUL, IndusInd Bank, Dr Reddy's, Axis Bank, Bajaj Finserv, Infosys and
ICICI Bank.
On the other hand, M&M, Bharti Airtel, Maruti Suzuki, Asian Paints, ITC and HCL Technologies were the gainers, climbing up to 0.98 per cent.
On a weekly basis, the Sensex lost 1,141.78 points or 1.95 per cent, while the Nifty shed 303.70 points or 1.73 per cent.
In the broader market, the BSE midcap gauge declined by 0.71 per cent and the smallcap index dipped 0.38 per cent in Friday's session.
As many as 1,956 stocks declined, while 1,451 advanced and 124 remained unchanged.
All BSE sectoral indices settled lower, with bank falling the most by 2.19 per cent, followed by metal (2.17 per cent), finance (1.70 per cent), healthcare (1.57 per cent) and basic materials (1.45 per cent).
World stocks dived after US Federal Reserve Chairman Jerome Powell indicated a 50 bps rate hike in May amid efforts to rein in rocketing inflation.
Elsewhere in Asia, markets in Tokyo, Hong Kong and Seoul settled lower, while Shanghai ended marginally higher.
Markets in Europe were trading lower in the afternoon session.
Stocks in the US had ended lower on Thursday.
Meanwhile, international oil benchmark Brent crude declined 1.60 per cent to $106.6 per barrel.
The rupee declined 25 paise to close at 76.42 against the US dollar on Friday, amid a firm greenback in the global markets.