The benchmark BSE Sensex plunged over 350 points as global markets fell for a second day, with stocks, dollar and emerging market currencies all under pressure after >China pushed the yuan lower again overnight, boosting the appeal of top-rated government bonds.
The rapid drop in the value of China’s currency — around 4 per cent in the last two days — dealt a body blow to appetite for risky assets globally, with equities, currencies and commodities coming under selling pressure as money managers feared it could ignite a currency war that would destabilise the global economy.
The 30-share BSE index Sensex plunged 353.83 points or 1.27 per cent to 27,512.26 and the 50-share NSE index Nifty dropped 112.9 points or 1.33 per cent to 8,349.45.
Heavy selling was witnessed in realty, metal, oil & gas and PSU stocks. Among them, realty index plunged 5.42 per cent, followed by metal 4.37 per cent, PSU 3.44 per cent and oil & gas 3.42 per cent. On the other hand, IT index was up 2.59 per cent, followed by TECk 1.72 per cent, consumer durables 0.83 per cent and healthcare 0.49 per cent.
Top five Sensex gainers were Infosys (+3.39%), Sun Pharma (+2.9%), TCS (+2.63%), Wipro (+1.75) and Lupin (+1.28%), while the major losers were VEDL (-8.03%), Hindalco (-7.21%), Coal India (-5.53%), SBIN (-4.77%) and Tata Motors (-3.92%).
