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Sensex nosedives 453 points

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BS Reporter Mumbai
The benchmark Bombay Stock Exchange (BSE) Sensex on Wednesday plunged nearly 453 points (3.49 per cent) to 12,529.62 as US, European and Asian stocks tumbled on concerns of a slowdown in the US economy.
 
Heavy selling in Sensex heavyweights Infosys, Reliance Industries, Bharti Airtel and ICICI Bank took a heavy toll on the benchmark indices. Bajaj Auto and Gujarat Ambuja were the only heavyweight gainers on the Sensex.
 
The BSE Banking Index (down 4.14 per cent) and BSE Information Technology Index (down 3.97 per cent) were the biggest losers.
 
The broad-based S&P CNX Nifty lost 3.43 per cent to 3,641.10 points. The markets fell for the first time in the week after witnessing gains on the first two days.
 
US stocks wiped out three days of gains after growing mortgage delinquencies heightened concerns of a home-loan crisis spreading across the world's largest economy.
 
The Dow fell below 12,000 for the first time since November 6, 2006, in early trade.
 
The fear of a slowdown in the US economy means lower export revenues for emerging as well as developed Asian economies because the US has been one of their top export destinations.
 
The US Bankers' Association yesterday said the number of borrowers who paid their mortgage payments late has grown to the highest level in the past four years, a sign of slowing of the US economy.
 
Markus Rosgen, Citigroup Investment Research's MD, saw yesterday's market movement as a reaction to global sentiments.
 
He said the global events would continue to influence domestic market sentiments.

 
 

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First Published: Mar 15 2007 | 12:00 AM IST

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