JOIN USThe BSE Sensex plunged over 284 points on Wednesday to close at a three-month low of 33,033 on heavy selling in banking stocks amid negative global cues.
Overseas markets were shaky as global trade war concerns intensified after the resignation of White House economic adviser Gary Cohn, brokers said.
The 30-share Sensex tumbled by 284.11 points or 0.85% to end at 33,033.09, its lowest closing since December 7, after shuttling between 32,991.14 and 33,331.21 as infrastructure, power, capital goods, PSU, healthcare, banking, oil and gas and metal stocks nosedived. The index had lost 1,128.55 points in the previous five sessions. The NSE Nifty dipped 95.05 points or 0.93% to finish at 10,154.20.
Meanwhile, domestic institutional investors (DIIs) net sold shares worth Rs 734.33 crore, while foreign portfolio investors (FPIs) bought shares to the tune of Rs 620.08 crore on Tuesday.
"Weak global cues due to escalating trade war concerns and widening probe into PSU banks led the domestic market to under-perform.
"From the recent high the market declined by 9% as investor sentiment got hurt by domestic and global headwinds. Consolidation in bond yield and ease in global market volatility is likely to provide some leeway to the current negative sentiment," said Vinod Nair, Head of Research, Geojit Financial Services.