Sensex closes 251 points lower; oil stocks fall

The BSE Sensex and the broader Nifty closed nearly 1 per cent with oil and gas explorers leading the losses.

ONGC slides nearly 5.89 per cent and RIL falls 3.70 per cent after the government on Wednesday deferred a decision to hike prices of locally produced gas.

However, losses were limited as auto stocks gain after Finance Minister Arun Jaitley said India had extended excise duty concessions for automobiles, among other sectors.

Investors are cautious ahead of the monthly derivatives contracts expiry for June, on Thursday.

Overseas investors bought shares worth of Rs 695 crore ($116.4 million) on Wednesday, provisional exchange data showed.

Asian shares swung higher on Thursday as weak U.S. growth seemed to further delay the day when interest rates might rise, pulling down bond yields globally and pushing investors toward riskier assets in desperate search for returns.

(Reuters)