Mumbai: Market benchmark Sensex nosedived by almost 546 points to 28,251.31, while Nifty broke below the 8,700-level in the opening trade on Monday on heavy selling after revived speculation about a possible US rate hike.
Moreover, the rupee depreciating by 25 paise to 66.93 against the dollar in opening trade at the forex market also had a bearing on the sentiment.
Investors also turned cautious ahead of macroeconomic data – IIP for July and inflation data for August – scheduled to be released later in the day.
Consequently, the Sensex plunged by 545.94 points or 1.89% to 28,251.31 with all the sectoral indices led by realty, infrastructure, banking and auto, tumbling by up to 2.74%. The gauge had lost 248.03 points in the previous session on Friday.
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On similar lines, the National Stock Exchange index Nifty dropped by 167.30 points or 1.88% to 8.699.40.
Sentiment suffered a jolt following a meltdown in global equities on renewed speculation about a possible US rate hike, dragging down the key indices.
Most of the 30-Sensex constituents led by ICICI Bank, Hero Motocorp, Tata Motors, Axis Bank, Tata Steel, M&M, L&T, SBI, Adani Ports, Bajaj Auto, ONGC, Maruti Suzuki, Asian Paint,HDFC Ltd and HUL were trading in negative zone, falling by up to 3.36%.
In Asian region, Hong Kong’s Hang Seng tumbled 2.83 per cent, Japan’s Nikkei down 1.51% while Shanghai Composite Index fell 2.06%.
The Dow Jones Industrial Average ended 2.13% lower in Friday’s trade.