Key equity indices extended their slide on Wednesday, dropping almost 1% as a global flight to safety saw FIIs dump local stocks.
The S&P BSE Sensex fell 509.29 points, or 0.89%, to 56,598.28. Sensex stocks which lost the most include ITC (2.9%), Axis Bank (2.8%), Reliance (2.6%), Tata Steel (2.4%) and State Bank (2.0%).
The NSE Nifty 50 too declined 0.87% to 16,858.60.
“Investors continue to be sceptical of the domestic market’s higher premium amid the global deceleration; foreign investors are fleeing emerging economies,” said Vinod Nair, head of Research, Geojit Financial Services.
The rupee slid 40 paise to a new low of 81.93 against the dollar. “I think rupee will take support of 82 and remain in the range of 82-80,” said Megh Mody, Commodities and Currencies Research Analyst, Prabhudas Lilladher.
