Sensex tanks due to tension in Korean peninsula

Mumbai: Indian stock markets tanked on Tuesday due to mounting tension in Korean peninsula. The Sensex fell by almost 600 points, and the Nifty was down 121.25 points at 1.10 PM. About 778 shares advanced, 2285 shares declined, and 389 shares remain unchanged.

South Korea Government has called an emergency Security Ministry meeting, reports CNBC-TV18 quoting Agencies. South Korea Military says the country is on highest non-war time alert after at least 200 artillery shells fired by North Korean military hit South Korean islands on Tuesday.

South Korea President Office says that North Korea artillery fire is in response to South drills.

Heavy selling was seen in realty, metal, oil&gas, banks, PSU, FMCG and power stocks. All BSE sectoral indices were trading in red with minimal losses of 1 per cent each. BSE Midcap and Smallcap indices were down 1.7 per cent and 1.9 per cent respectively.

In the largecap space, Hindalco, Suzlon Energy, SAIL, SBI and IDFC were down 3.5-4 per cent. All Nifty 50 stocks were trading in red.

The most active shares on NSE were SBI, Reliance Industries, Tata Motors, Tata Steel and ICICI Bank.

Index heavyweight Reliance was trading at Rs 984.40 down 2.74 per cent from its previous close of Rs 1,012.10. Tech major Infosys was trading at Rs 3,004.45 down 1.24 per cent from its previous close of Rs 3,042.10. Cigarette major ITC was trading at Rs 171.50 down 2.47 per cent from its previous close of Rs 175.85.

Hindustan Lever was trading at Rs 299.10 down 0.08 per cent from its previous close of Rs 299.35. Refinery major HPCL was trading at Rs 439.00 down 2.07 per cent from its previous close of Rs 448.30.

China's key stock index fell 1.9 per cent to a six-week closing low on Tuesday, weighed by metals firms and miners, as investors already on edge from recent monetary tightening measures eyed a stronger dollar as a reason to sell heavily weighted commodity issues.

The Shanghai Composite Index closed at 2,828.3 points, trading well below its 250-day moving average, now at 2,886 points. It fell by more than 3 per cent at one point in early afternoon trade.

(With inputs from Reuters)