Sensex slides further by 160 pts; Auto, PSU stocks drag

Continuing its downward trend, the BSE Sensex fell over 160 points and the NSE Nifty broke below the 9,900-mark in early trade today amid weak global cues.

Sentiment remained downbeat due to sustained capital outflows by foreign funds and retail investors on the domestic bourses.

The 30-share barometer declined 160.05 points or 0.50 per cent to 31,637.79, with sectoral indices led by auto, PSU, power, oil& gas, capital goods, bank and metal accounting for much of the losses, declining up to 1.40 per cent.

The index had lost 527.57 points in the previous three sessions. Also, the NSE Nifty was trading lower by 50.60 points or 0.51 per cent at 9,857.45.

Brokers said steady capital outflow by foreign funds and a weak trend at other Asian markets following a sell-off in the US and Europe on escalating geopolitical tensions, kept the domestic bourses here on a sticky wicket.

Moreover, lower-than-expected quarterly earnings numbers by Tata Motors and Eicher Motors, too accelerated the selling pace to some extent, they added.

Shares of Tata Motors fell 5.81 per cent to Rs 392.55 even as the company yesterday reported 41.54 per cent jump in net profit to Rs 3,199.93 crore for the June quarter.

The other laggards were ONGC, Adani Ports, NTPC, Maruti Suzuki, Power Grid, ICICI Bank, SBI, Hindustan Unilever, L&T, Tata Steel and Bajaj Auto, which also contributed fall in the indices.

At other Asian markets, Hong Kong's Hang Seng Index was down 1.52 per cent, while China Shanghai Composite Index fell 1.06 per cent in early trade today. Japan's Nikkei fell 0.17 per cent.

The Dow Jones Industrial Average ended 0.17 per cent down yesterday.