Mumbai: In line with fall in global markets, the domestic bourses on Wednesday closed in the red with the benchmark Sensex losing a hefty over 500 points to cut short the gaining trend of the past two days.
Marketmen attributed the steep losses to heavy selling pressure, re-emerged on renewed worries of global economy falling into a recession.
The 30-share index, which had gathered nearly 710 points in the past two sessions, lost 513.49 points, or 4.81%, at 10,169.90.
Similarly, the wide-based National Stock Exchange index Nifty closed down by 169.75 points, or 5.25%, at 3,065.15.
Marketmen said capital outflow by foreign funds and depreciation of rupee, which plunged to record low of Rs49.51 against the US greenback, too cast its shadow on trading sentiments.
They said the two-day rally in the previous two sessions was on the back of brokers covering their long pending positions ahead of the settlement in derivative segments.
Market major and Sensex heavy-weight Reliance Industries fell by 5.83% at Rs1,315.55, Infosys Technologies 3.56% at Rs1,300.35, ICICI Bank 8.04% at Rs396.45 and Sterlite Industries 10.04% at Rs265.10.
All the four stocks carry nearly 35% weightage on the Sensex.