Selling pressure was broad-based on account or profit booming after five days of gains amid weak sentiment in global markets.
The Indian equity benchmarks erased intraday gains and were on track to snap their five-day winning streak on weak global markets as investors' resorted to profit booking ahead US Federal Reserve meet outcome due tomorrow. The Sensex dropped over 1,000 points from the day's highest level and Nifty 50 index touched an intraday low of 16,632 after hitting high of 16,900. Meanwhile, reports of Russian forces edging closer to central Kyiv also shattered investor sentiment.
As of 2:05 pm, the Sensex fell 778 points to 55,708 and Nifty 50 index dropped 236 points to 16,635.
Markets in Europe were trading sharply lower after reports suggested that Russia’s offensive in Ukraine edged closer to central Kyiv on Tuesday, with a series of strikes hitting a residential neighborhood as the leaders of three NATO member countries planned a visit to Ukraine’s embattled capital.
Shortly before dawn, large explosions thundered across Kyiv from what Ukrainian authorities said was artillery strikes, news agency AP reported.
Germany's DAX fell 1.72 per cent, France's CAC40 index tumbled 1.8 per cent and England's FTSE 100 dropped 1.34 per cent.
Back home, selling pressure was broad-based on account or profit booming after five days of gains amid weak sentiment in global markets.
In the last five trading sessions, Nifty jumped over 1,000 points or 6 per cent.
All the 15 sector gauges, barring the index of auto shares, were trading lower led by the Nifty Metal index's over 4 per cent fall. Nifty IT Media, PSU Bank, Private Bank, Oil & Gas, Financial Services and Bank indices also fell between 1-2 per cent.
Mid- and small-cap shares were also facing selling pressure as Nifty Midcap 100 index fell 0.9 per cent and Nifty Smallcap 100 index dropped 1.3 per cent.