Markets fall over 1% as Sensex slumps 879 points, Nifty crashes below 18,415 mark

Mumbai: The Sensex plummeted 879 points while the Nifty crashed below the 18,415 mark on Thursday, in tandem with a global sell-off after the US Federal Reserve increased the interest rate and signalled more hikes in its fight against inflation.

A depreciating rupee added to the gloom, traders said.

Reversing its two-day winning run, the 30-share BSE Sensex tanked 878.88 points or 1.40 per cent to finish at 61,799.03.

The broader NSE Nifty plummeted 245.40 points or 1.32 per cent to end at 18,414.90.

Tech Mahindra was the biggest laggard among Sensex components, tumbling 3.98 per cent, followed by Infosys, Titan, HDFC, ITC, HDFC Bank, Tata Steel and TCS.

Only Sun Pharma and NTPC managed to close in the green, rising up to 0.08 per cent.

The US Fed on Wednesday increased interest rates by 50 basis points on expected lines and signalled more hikes ahead to fight inflation even as the world's largest economy stares at a possible recession.

The US central bank raised the interest rate to 4.25-4.50 per cent to the highest level in 15 years.

Among sectors, IT tumbled 2.06 per cent, followed by teck (1.92 per cent), metal (1.82 per cent), consumer durables (1.37 per cent), services (1.28 per cent), relaty (1.25 per cent), financial services (1.19 per cent), bankex (1.18 per cent) and commodities (1.17 per cent).

The rupee declined by 27 paise to close at 82.76 against the US dollar.