Mumbai | Jagran News Desk: Indian benchmark indices sank for the fifth session on the trot on Thursday. The Sensex and Nifty tanked over 2 per cent each, tracking extremely weak global trends and selling in index majors HDFC twins, Reliance Industries and ICICI Bank. Unabated selling by foreign institutional investors also continued to weigh on sentiments.

Moreover, investors remained cautious ahead of the announcement of the inflation rate for April and industrial production data for March.

The 30-share BSE Sensex tumbled 1,158.08 points or 2.14 per cent to end below the 53,000-level at 52,930.31. During the day, it plummeted 1,386.09 points or 2.56 per cent to 52,702.30.

The NSE Nifty plunged 359.10 points or 2.22 per cent to settle at 15,808.

"Undoubtedly, the biggest negative catalyst continues to be inflation all over global economies.

The anxiety at stock markets across globe is on the backdrop Federal Reserve's next strategy on interest rates...," said Prashanth Tapse, Vice President (Research), Mehta Equities.

From the Sensex firms, IndusInd Bank, Tata Steel, Bajaj Finance, Bajaj Finserv, HDFC Bank, Axis Bank, HDFC, Titan, NTPC and State Bank of India were among the major laggards. In contrast, Wipro and HCL Technologies were the only gainers.

Elsewhere in Asia, markets in Tokyo, Hong Kong, Seoul and Shanghai settled sharply lower. Equity markets in Europe were quoting with sharp cuts in the afternoon session. Stock exchanges in the US had ended lower on Wednesday.

International oil benchmark Brent crude declined 2.02 per cent to USD 105.7 per barrel.
Continuing their selling spree, foreign institutional investors offloaded shares worth Rs 3,609.35 crore on Wednesday, according to stock exchange data.

Meanwhile, the Indian rupee plunged to a record low for a second time this week, hitting 77.63 against the dollar. It settled at 77.5025.

Indian stock markets have in recent weeks been roiled by fears of sky-high inflation, a surprise interest rate hike, foreign fund outflows and mixed set of corporate results.

Foreign investors have sold Indian equities worth USD 2.27 billion so far this month, compared with net buying of USD 967 million in the same period last month, Refinitiv data showed.

"For Indian markets, inflation and Reserve Bank of India's unexpected rate increase has created some kind of nervousness," said Kranthi Bathini, director of equities strategy at WealthMills Securities.

(With inputs from agencies)

Posted By: Talibuddin Khan