Equity benchmark Sensex on August 2 fell over 300 points in line with global market sell-offs as investors panicked after the U.S. decision to impose fresh tariffs on Chinese goods.
The trade war tensions between the U.S. and China along with unabated foreign fund outflows weighed heavily on the market sentiments, traders said.
Tracking tepid global market trend, the 30-share index was trading 333.32 points, or 0.90%, lower at 36,685.00. Similarly, the 50-share Nifty slipped 105.15 points, or 0.96% to 10,874.85.
In the Sensex pack, HeroMotoCorp emerged as the biggest loser with a slide of 2.78%, followed by Vedanta, ONGC, Bajaj Finance, HCL Tech, Tata Steel.
However, Bharti Airtel, Asian Paint, Tata Motors and Infosys gained in the morning trade.
In the previous session, Sensex plunged 462.80 points or 1.23% to end at 37,018.32. The broader NSE Nifty dropped 138 points or 1.24% to close below the key 11,000-mark at 10,980.00.
U.S. President Donald Trump’s decision to impose new tariffs on Chinese goods triggered fresh tension among investors over the trade battle between the two largest economies.
Trump on August 1 announced that the U.S. will impose a 10% levy on $300 billion in Chinese goods. The new tariffs is expected to go into effect from September 1.
Foreign investors sold shares worth ₹1,056.55 crore on a net basis on August 1, as per provisional data with stock exchanges.
Elsewhere in Asia, Shanghai Composite Index, Hang Seng, Nikkei and Kospi were trading lower in their respective early sessions.
Wall Street stocks finished lower on August 1 after announcement of a new round of tariffs on Chinese goods.
Meanwhile, the rupee declined by 21 paise to 69.27 against the U.S. Dollar in morning trade.
The global oil benchmark Brent crude futures surged by 2.61% to 62.08 per barrel.
