Benchmark Sensex tumbled 206 points while the broader Nifty closed below the 9,400-mark today as investors booked profits amid volatile global cues in the aftermath of a terror attack in the UK.
Pharma index was the worst performer on both the BSE and NSE after weak quarterly results of Sun Pharma's overseas arm Taro Pharmaceuticals -- seen as representative of the vast Indian generics business in the US -- spooked investors.
Global cues were negative after at least 22 people were killed and 59 injured when a suicide bomber blew himself up in Manchester -- the deadliest terror attack in the UK since the 7/7 bombings of 2005.
Indian Army carrying out fire assaults on Pakistani posts across the Line of Control (LoC) added to the grim mood, prompting participants to book profits in recent gainers, brokers said.
Investors were also cautious ahead of May series derivative contracts expiry on Thursday.
The 30-share Sensex resumed lower at 30,553.89 and hovered in a range of 30,610.84 and 30,316.92 before settling at 30,365.25, showing a loss of 205.72 points, or 0.67 per cent.
The gauge had gained 136.18 points in the previous two sessions.
The NSE 50-share Nifty also tumbled 52.10 points or 0.55 per cent to 9,386.15, after shuttling between 9,448.05 and 9,370.
"Investors were cautious due to sudden hike in Indo-Pak tension. Additionally, higher than expected GST rate especially for consumer oriented durables is impacting the market.
"Pharma continued to taste bitterness in earnings due to high competition which is impacting the sentiment of the sector for the long-term," said Vinod Nair, Head of Research, Geojit Financial Services.
Sustained foreign capital outflows further affected market momentum. Overseas investors sold shares net Rs 321.17 crore yesterday, as per the provisional figures issued by stock exchanges.
Pharma counters suffered massive selling, with Aurobindo Pharma falling 5.94 per cent, followed by Orchid Pharma (5.57 per cent), Cipla (4.89 per cent) and Morepen Lab (4.76 per cent) on BSE.
Sun Pharma fell 4.33 per cent after its overseas arm Taro Pharmaceutical Industries reported weak earning in the March quarter.
Adani Ports was the worst performer in the Sensex pack, plunging 6.19 per cent to Rs 332.05.
In Asia, Japan's Nikkei fell 0.33 per cent and China's Shanghai Composite Index shed 0.45 per cent, while Hong Kong edged up 0.05 per cent.
In the Eurozone, Frankfurt's DAX 30 index slipped by 0.2 per cent and Paris' CAC 40 edged 0.1 per cent lower. London's FTSE brushed off the terror attack and edged higher in early trade.
Back home, 22 of the 30 Sensex constituents ended in red.
Shares of Maruti rose 2.70 per cent, M&M 1.71 per cent, Wipro 1.15 per cent, Tata Steel 0.78 per cent and Hero Motoco 0.58 per cent.
Among the BSE sectoral indices, healthcare was the top loser, declining 2.72 per cent, followed by realty 2.59 per cent, utilities 1.90 per cent, power 1.89 per cent, industrials 1.55 per cent, consumer durables 1.51 per cent, energy 1.48 per cent and capital goods 1.47 per cent.
Auto was the sole gainer, rising by 0.43 per cent.
The market breadth continued to remain negative as 2,115 stocks closed lower, 605 finished higher while 158 ruled steady.
The total turnover on BSE amounted to Rs 4,160.66 crore, lower than Rs 4,815.15 crore registered during the previous trading session.
Disclaimer: No Business Standard Journalist was involved in creation of this content
