Mumbai: The domestic equity markets snapped their four-day winning steak amidst weakness in global stocks as fall in oil prices and fears about Britain exiting the European Union triggered risk aversion in global markets.
Meanwhile, the Rs 5,000 crore offer for sale (OFS) from state owned NTPC Ltd, which hit the street on Tuesday, also had an impact on the markets. Led by bank stocks, the Sensex slumped 378.61 points or 1.59 per cent to end the day at 23,410.18 while the broader Nifty closed at 7,109.55, losing 125 points or 1.73 per cent.
“We saw some amount of selling by sovereign wealth funds (SWF) based out of Middle East as further fall in crude oil prices and talks about Britain exiting the EU led to risk-off environment in global markets,” said Ambareesh Baliga, senior research analyst. According to the provisional data released by the stock exchanges, foreign portfolio investors (FPI) sold shares worth Rs 289.66 crore.
