Sensex plummets 318 points on continued worries over global market down


Mumbai : Indian shares plunged over one per cent as investors feared fresh rate cuts in China may not be enough to stabilise its slowing economy or halt a stocks collapse that is wreaking havoc in global markets. The 30-share BSE index Sensex ended lower by 317.72 points or 1.22 per cent at 25,714.66 and the 50-share NSE index Nifty ended down by 88.85 points or 1.13 per cent at 7,791.85.Heavy selling was seen in banking, healthcare, FMCG, IT, oil&gas, capital goods, auto, PSU and consumer durable stocks.

Chinese markets were unimpressed with the central bank’s strong monetary easing measures announced on Tuesday night, believing much more official support is needed, and traders said shares remained vulnerable to another sell-off. Trading was highly volatile ahead of the August derivatives contracts expiry on Thursday.

Europe’s main stock markets, which had surged on Tuesday after China’s moves, reopened 2 per cent down as the jittery mood returned and sent investors back into safe-haven German and US government bonds.

Asian stocks fell on Wednesday as investors feared fresh rate cuts in China would not be enough to stabilise its cooling economy or halt a collapse in its stock markets.

MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.2 per cent in early trade and was just shy of a three-year low hit in the previous session.