Sensex, Nifty slump in early trade tracking weak global markets

New Delhi: Benchmark equity indices Sensex and Nifty tumbled in early trade on Wednesday after a record-breaking rally, tracking extremely weak trends from the global markets.

The 30-share BSE Sensex tumbled 721.75 points to 81,833.69 after a weak beginning to the trade. The NSE Nifty tanked 196.05 points to 25,083.80.

Among the 30 Sensex firms, JSW Steel, Infosys, Larsen & Toubro, State Bank of India, Tata Steel, Mahindra & Mahindra, Bharti Airtel and Axis Bank were the major laggards.

Asian Paints, Bajaj Finserv, Bajaj Finance, and Hindustan Unilever were the gainers.

"The selloff in US markets yesterday (Tuesday) was triggered by growth concerns. There are indications of US manufacturing moving into contraction, thereby threatening the soft landing expectation, which has been the pillar of support for the mother market US and consequently for other markets, too," said VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

Halting its 10-day rally on Tuesday, the BSE benchmark dipped 4.40 points or 0.01 percent to settle at 82,555.44. The Nifty, however eked out a marginal gain of 1.15 points to settle at 25,279.85, its highest-ever closing level.

In the 10-day rally, the BSE benchmark spurted 2,135 points, or 2.61 percent. Nifty has surged nearly 1,141 points or 4.59 percent in 14 straight days.

Foreign Institutional Investors (FIIs) bought equities worth Rs 1,029.25 crore on Tuesday, according to exchange data.

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