Stock markets discount RBI rate cut, Sensex plunges 112 pts to end below 20K

Among banks, State Bank of India fell by 1.32 per, HDFC Bank by 2.54 per cent, Bank of India 4.01 per cent, Bank of Baroda by 2.64 per cent and Yes Bank by 1.92 per cent.

The realty sector index suffered the most by losing 2.07 per cent, followed by oil and gas index by 1.35 per cent and Auto index dropped by 1.12 per cent. Besides, two index heavyweight stocks -- RIL and Infosys -- also ended lower.

The RBI trimmed the economic growth projection for the current fiscal to 5.5 per cent, from 5.8 per cent estimated earlier.

Selling was strong with 12 out of 13 sectoral indices closing down by up to 2.07 per cent. Only FMCG index finished higher.

Kishor P Ostwal, CMD, CNI Research Ltd said: "Nifty support still lies at 6000 and if broken then we can test 5850."

Globally, Asian markets ended mixed as key benchmark indices in Taiwan, China, Japan and South Korea closed with gains while from Hong Kong and Singapore ended with losses.

European stocks were trading steady to slightly weak in afternoon trade.

Moving to the local market, 22 scrips out of 30-share Sensex pack declined. Major losers were Hindalco (2.7 pc), Bajaj Auto (2.62 pc), HDFC Bank (2.61 pc), Bharti Airtel (2.43 pc), BHEL (2.12 pc), Gail India (1.98 pc), RIL (1.68 pc), Tata Steel (1.68 pc), Tata Motors (1.59 pc), Wipro (1.43 pc), SBI (1.32 pc), Sun Pharma (1.28 pc) and M&M (1.03 pc).

However, ITC rose by 1.73 per cent

... contd.