The Sensex and Nifty crashed in early trade tracking lower Asian and US markets on Friday. While Sensex fell 513 points to 33,899 level, the Nifty was down 147 points (1.40%) to 10,429 level. Of 30 Sensex stocks, 29 were trading in the red. Tata Steel was the sole gainer rising 0.22% to 672 level.
ICICI Bank (2.51%), HDFC (1.95%) and ITC (1.92%) were the top Sensex losers.
Market breadth was negative with 331 stocks rising against 1481 falling on the BSE.
Among top BSE losers, Glenmark was down 8.15%, Redington (3.88%) and JustDial lost 3.02%.
Mid cap and small cap indices led the losses falling 133 points and 118 points, respectively.
FIIs sold shares worth Rs 2,297 crore on Thursday, while DIIs bought Rs 2373.59 crore in Indian stocks.Of 19 BSE sectoral indexes, 18 were trading in the red. BSE metal index was the sole gainer rising 120 points to 15,034 level.
BSE bankex and auto indices led the losses falling 511 points to 28,884 and 184 points to 25,099 points, respectively.
Anand James, Chief Market Strategist at Geojit said, "With BOE also echoing tighter interest rate expectations, global markets have reverted to a risk off mode, and Indian markets have not been spared. But most Indian indices and stocks are trading well above the lows seen after Dow's last week's crash, suggesting that recent earnings positivity has kept risk appetite alive."The market has been falling since last Thursday when the Modi government presented its last full-year Budget before its goes to Lok Sabha polls in 2019. On Thursday (Feb 1), the BSE's market capitalisation stood at Rs 1,53,20,977 crore. Since then investors have lost Rs 6,28,632 crore in market wealth.
Last Friday, the Indian market fell after the global markets sneazed on US markets yielding to high govt bond yields amid the Modi government bringing back 10% LTCG tax on equities which dampened investor sentiment.
The upward revision to the fiscal deficit target to 3.3 percent from 3 percent for 2018-2019 also hit sentiment.
The Sensex closed 839 points or 2.34% lower to 35,066 level and the Nifty was down 256 points to 10,760 level on February 2.
Asian stocks fell on Friday, with Chinese shares slipping to multi-month lows after Wall Street shares dropped again in the face of rapidly-rising bond yields, while perceived havens such as the yen and Swiss franc were in demand.
The Shanghai Composite Index retreated 4.1 percent after slipping to its lowest since May 2017 and the blue chip CSI300 index was down 4.6 percent, after plumbing a six month low. The slide resulted in Chinese stocks following their US counterparts into correction territory - a fall of 10 percent or more.
Japan's Nikkei sagged 3.2 percent, en route for a weekly loss of 8.9 percent.
MSCI's broadest index of Asia-Pacific shares outside Japan dropped 2.3 percent to a two-month low.