Sensex sinks over 600 points on Korean hostilities, recovers (Second Lead)

Tuesday, November 23, 2010

MUMBAI - A benchmark index of Indian equities market slipped further into the red Tuesday, falling over 600 points in afternoon trade, as Asian markets were jittery on reports of North and South Korean soldiers exchanging fire.

The 30-share sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 19,841.42 points, fell 614 points or 3.08 percent to 19,342.69 points, from its previous close of 19,957.59 points.

The index, however, recovered in about 20 minutes, to rule 460 points lower at 19,497.17 points.

At the National Stock Exchange (NSE), the 50-share S&P CNX Nifty had also slipped 3.07 percent at 5,824.95 points.

Broader markets indices were in the red too, with the BSE madcap index ruling 2.32 percent lower while the BSE smallcap index moved down 2.98 percent.

All of the sectoral indices were in the negative. Realty, consumer durables and metal stocks were among the major losers.

South and North Korea exchanged artillery fire Tuesday soon after dozens of shells fired from the North struck a South Korean island near the countries disputed western sea border.

The South Korean won tanked over four percent against the US dollar, indicating significant uneasiness in financial markets.

Filed under: Economy

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