Sensex plunges 372 points amid weak global cues (Roundup)

MUMBAI - A benchmark index for Indian equities Tuesday fell 372 points from its previous close amid heavy selling on weak global cues that ended a four-day upside move.

All the 13 sectoral indices on the Bombay Stock Exchange ended the day in red. Metal, realty, banking and energy scrips faced bulk of the selling pressure.

The 30-scrip sensitive index (Sensex) of the BSE, which opened at 16,942.82 points, shut shop at 16,572.03 points, 372.6 points or 2.2 percent down from its previous close at 16,944.63 points.

Heavyweight Reliance Industries was the major drag with the scrip losing 3.21 percent at Rs.1,011.55.

At the National Stock Exchange (NSE), the broader 50-share S&P CNX Nifty ended at 4,970.2 points, down 2.28 percent from its previous close at 5,086.3 points.

Broader markets indices too were hit by the selling spree, with the BSE midcap index ruling 1.33 percent down and the BSE smallcap index 0.99 percent lower.

There were only three gainers on the Sensex — Maruti Suzuki, up 1.8 percent at Rs.1,259.20; Cipla, up 1.61 percent at Rs.324.10 and ACC, up a modest 0.19 percent at Rs.818.55.

Prominent losers included Jaiprakash Associates, down 6.04 percent at Rs.117.35; Sterlite Industries, down 5.04 percent at Rs.629.45; Hindalco Industries, down 4.43 percent at Rs.143.45; and Tata Steel, down 4.12 percent at Rs.480.

Among other Asian markets, the Japanese Nikkei ended 0.58 percent lower at 9,711.83 points on concern that the country’s political instability may slow the economic recovery, as members of the ruling Democratic Party of Japan have started clamouring for Prime Minister Yukio Hatoyama’s resignation.

Caution was the flavour in other markets amid report that Chinese manufacturing expanded at a slower pace in May. This raised concern that the world’s fastest-growing economy is losing steam and may affect countries that depend heavily on its demand.

Hong Kong’s Hang Seng closed at 19,496.95, down 1.36 percent, while the Shanghai composite index lost 0.92 percent to close at 2,568.28 points.

The South Korean Kospi was also ruling in the red at 1,630.4 points, down 0.66 percent.

Traders in Europe hit the panic button after oil major BP said that latest efforts on curbing an oil spill off US shores in the Gulf of Mexico had failed.

The French CAC 40 was trading 2.26 percent down at 3,420.11 points, while its German peer, DAX was ruling 1.88 percent lower at 5,851.94 points.

In Britain the FTSE 100 was trading lower at 5,071.18 points, down 2.26 percent.