The Sensex has ended (provisional) at 19,989 - down 114 points. Nifty ended down 25 points at 6,050.
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(Updated at 1426 hrs)
Markets have slumped in trades as traders started to book profits in late noon trades. The Sensex after touching a high of 20,204 following the RBI policy review, slipped 61 points to 20,042. Nifty is down seven points at 6,068.
The Reserve Bank of India (RBI) lowered its growth projection for the Indian economy as new investment demand continues to remain muted. The banking regulator now expects the domestic gross domestic product (GDP) growth at 5.5% in the current financial year.
Meanwhile, Asia markets gained on Tuesday, with Japanese stocks recovering from early weakness on the back of a solid rally in banks, while Chinese shares retreated from recent gains. Nikkei has added 0.4% at 10,867. Shanghai Composite, Kospi and Taiwan Weighted jumped around 1% each.
Banks firmed up on hopes of loan growth going forward as when they lower lending rates post the central banks decision to ease key policy rate. BSE bankex was the top gainer among the sectoral indices and advanced 0.3% to 14,714. Metal shares also firmed up tracking marginal gains on the London Metal Exchange. The index was up 0.3% at 10,665.
Realty shares had gained on hopes of revival of home sales on the back of lower interest rates on home loans. However, it slipped on profit booking and was down 0.4% at 2,215.
Auto shares, which had gained on hopes that vehicle sales growth would improve going forward on the back of lower interest rates on auto loans, were down 0.2% on profit booking.
Broader markets declined in line with the benchmark indices. BSE mid-cap index was flat at 6,970. Small-caps declined 21 points to 7,141.
ICICI Bank was the top gaineer among Sensex stocks - up 1.4% at Rs 1,207. Coal India, Hero MotoCorp, ITC and Sterlite were also in the green.
BHEL slipped 2% to Rs 224. HDFC Bank and Bharti Airtel showed weakness and dipped 1.5% each. Among other key losers were Bajaj Auto, Reliance, Hindalco and Wipro.
BSE market breadth was fairly negative. Out of 2,841 stocks traded, 1,640 shares declined while 1,072 shares advanced in trades.
