NSE Nifty plunges 63 pts on heavy sell-off; tech stocks hammered

Written by PTI | Mumbai | Updated: May 8 2014, 03:51am hrs
Equities today plunged to multi-week lows due to frantic selling following global jitters as the benchmark CNX Nifty tanked 63 points to close below the key 6,700 mark on the National Stock Exchange (NSE) today.

Fresh bout of technology-focused stock selling in Wall Street overnight amid concerns of overvaluation led to sell-offs in stocks across Asia and emerging markets even as escalating Russia-Ukraine crisis continued to haunt investors sentiment.

IT stocks suffered a double whammy, after UBS downgraded Infosys to `sell' and slashed the target price by a steep 32 per cent.

Infosys shares fell sharply by 3.09 per cent to finish at Rs 3,067.35, impacting other IT stocks. The sectoral CNX IT crashed by a staggering 233.15 points.

FMCG, auto, financials, metal and infra-related stocks too witnessed heavy unwinding.

After a modest positive start supported by firm rupee sentiment the key indices gradually succumbed to profit-taking. Even modest mid-afternoon pullback failed to yield any result.

A shift in investor confidence has resulted in broad-based selling ahead of election outcomes, a trader commented.

The 50-share index plummeted to intra-day low of 6,642.90 before concluding at 6,652.55, registering a steep fall of 62.75 points, or 0.93 per cent, over its last close.

HCL-Tech, TechM, Infosys, HDFC, Hindalco, Ultracemco, Gail, Ambuja Cement, Cipla and Asian Paints were the key laggards.

Prominent gainers included NTPC, SBIN, Sun Pharma, Kotak Bank, BPCL, Indusind Bank, Power Grid, NMDC and Axis Bank.

Turnover in the cash segment rose to Rs 12,965.30 crore from Rs 10,421.96 crore yesterday. A total of 6,429 lakh shares changed hands in 60,55,381 trades, while market capitalisation stood at Rs 73,22,092 crore.