Sensex tanks 300 pts on weak global cues

Sensex tanks 300 pts on weak global cues

Mumbai, Dec 2 (PTI) Extending its losses for the second straight session on Tuesday, the benchmark Sensex plunged by 325 points in early trade on heavy sell-off by funds after the global stock markets fell sharply on recession fears.

The 30-share barometer, which had lost 252.85 points yesterday, fell by 325.39 points, or 3.54%, to 8,514.48, with all the sectoral indices led by realty index registering losses up to nearly 5%.

The wide-based Nifty of the National Stock Exchange tanked 101.20 points, or 3.35%, to 2,581.70 points.

Marketmen said Indian stocks fell due to overnight heavy losses in the US markets, with the Dow Jones index plunging 7.70%, on another raft of dismal economic data which said the US had entered recession in December 2007 based on its measure of income, employment and other factors.

Asian markets fell sharply in the early trade, with Hong Kong’s Hang Seng dipping by 4.89% and Japan’s Nikkei declining by 4.60% on renewed fears about the US economy.

On the domestic front, auto stocks led by Maruti Suzuki continued their slide for the second session in a row after the dismal sales data for November.

Maruti stocks fell by 2.37% to Rs874, Tata Motors lost nearly 4% at Rs126.90 and Mahindra and Mahindra plunged nearly 7% at Rs256.

Other stocks which dragged the Sensex down were Reliance Industries, ACC, Reliance Infra, RCom, Infosys Technologies, Satyam Computers, Tata Consultancy, Wipro, ICICI Bank, SBI, HDFC Bank, HDFC Ltd, Larsen and Toubro, BHEL, Bharti Airtel and Tata Steel.