Markets End in Red

The benchmark indices plummeted on the back of relentless selling pressure in index heavyweights. The Sensex ended at 17,506, lower by 363 points or 2% and the Nifty shut shop at 5257, down 108 points. The broader markets were worse off; the midcap index ended at 6598, down 216 points or 3.1% and the smallcap index shut shop at 7907, down 266 points or 2.6%. All the sectoral indices on the BSE ended in the red, with realty, oil and IT witnessing the most selling pressure. In fact, the power, oil and metal indices touched 52-week lows during the day. There was bloodbath on the Street midway through the morning session, with the Sensex tumbling as much as 600 points from the highs of the day at one point, on reports that tax treaty talks between India and Mauritius were likely to resume soon in an attempt to revise the existing double taxation avoidance agreement between the two countries. The overall breadth was extremely negative; Out of 2920 stocks traded on the BSE, 2279 stocks declined, while merely 556 advanced.