Global sell-off on fresh worries over economic growth slowdown and sliding crude oil continued to batter sentiment.
However, IMF retained India’s growth outlook at 7.3 per cent for the current fiscal and 7.5 per cent in the next two even as it lowered the world projection on slumping oil and commodity prices.
The sensex resumed lower at 24,325.77 and moved down further to below 24K level after 20-month at 23,839.76 before finishing at 24,062.04, showing a loss of 417.80 points or 1.71 per cent. The sensex had settled at 23,905.60 on May 15, 2014.
The NSE Nifty fell by 125.80 points or 1.69 per cent to close at 20-month low at 7,309.30. It had last settled at 7,229.95 on 30th May 2014. Crude futures slumped, with US oil dropping more than 3 per cent towards USD 27 a barrel.
Meanwhile, foreign portfolio investors sold shares worth Rs 857.70 crore on Wednesday, as per provisional data.
In overseas stock markets, European stocks fell sharply as concerns over plummeting oil prices and worries over global economic growth continued to weigh. Key indices in France, Germany and UK fell by 2.68 pct to 3.15 pct. Trading in US index futures indicated that the Dow Jones Industrial Average could slide 360 points at the opening bell on Wednesday.
Hong Kong and Japan led decline in Asian stocks as Hong Kong dollar’s decline against the US dollar weighed on markets across the region. In Hong Kong, the Hang Seng index dropped 3.82 pct. In Japan, the Nikkei 225 Average fell 3.71 pct and China, Singapore, South Korea and Taiwan fell by 1.03 pct to 2.98 pct.
Pramit Brahmbhatt, Veracity Group CEO said,” following to negative global cues, our benchmark index NIFTY too opened on a negative note with a gap down of 78 points at 7357 levels and registered day high i.e. 7471 levels before ending at 7,309 across the board selling pressure led by PUS Banking and Realty stocks. Back home, the small-cap ended in the negative zone by falling 2.04 per cent and the mid-cap dropped 2.01 per cent.
Out of the 30-share Sensex pack, 27 scrips ended lower.
Adaniports took the biggest hit as it plunged by 5.53 per cent followed by SBIN 5.13 per cent, Reliance (3.76 pc), Coal India (3.45 pc), Maruti (3.40 pc), Tata Motors (3.39 pc), Tata steel (2.63 pc), NTPC (2.26 pct), ONGC (2.25 pc), ICICI Bank (2.03 pc), Hindunilvr (1.83 pc) and HDFC Bank (1.77 pc)
Other prominent losers were Dr Reddy, ITC, Infy, HDFC, Axis Bank, BHEL, L&T, Gail and Asian Paints. From the gainers pack, Bajaj Auto surged by 0.43 per cent, while Hero Motoco rose by 0.21 per cent and Wipro perked up by 0.05 per cent.