Stock markets plunge amid Ukraine crisis

Mumbai: Benchmark BSE Sensex plummeted by nearly 383 points in a volatile trade on Tuesday due to losses in index heavyweights TCS, Reliance Industries and HDFC Bank amid a massive selloffs in global markets triggered by deepening geopolitical tensions.

After sinking about 1,300 points in early deals, the 30-share barometer finally closed lower by 382.91 points or 0.66 per cent at 57,300.68 points. The broader NSE Nifty too reclaimed part of its early losses before closing 114.45 points or 0.67 per cent lower at 17,092.20.

On the Sensex chart, Tata Steel fell the most by 3.64 per cent, followed by TCS (3.59 per cent), and SBI (2.67 per cent). Dr Reddy's dropped 2 per cent, ITC by 1.44 per cent, Bharti Airtel by 1.39 per cent, and IndusInd Bank by 1.39 per cent. Reliance Industries, HDFC Bank, Axis Bank, HCL Tech, Wipro, HUL, LT and UltraTech were among the losers. Of the 30 Sensex constituents, 20 closed in the red.

"Escalations in Ukraine tensions with Russia recognising two pro-Russian rebel regions have aggravated the crisis. The economic consequences are already visible in higher crude and gold prices. The biggest macro headwind for India is crude racing to $97 a barrel. The inflationary consequence of this will force the RBI to abandon its Dovish monetary stance," said VK Vijayakumar, chief investment strategist at Geojit Financial Services. Continuing their selling spree, foreign institutional investors (FIIs) sold shares worth Rs2,261.90 crore in the Indian capital market on Monday, exchange data showed.

Sectorally, BSE realty index tumbled over 3 per cent, followed by industrials, metal and teck. Of the 19 sectoral indices, 17 closed in the red. Broader smallcap, midcap and largecap indices dropped as much as 1.62 per cent.