Mumbai, Jul 12 (IANS): A benchmark index for Indian equities markets Tuesday slipped sharply to close 309 points lower as global markets grew jittery over fears that a debt crisis faced by some euro zone economies could spread to larger countries in the region.
A disappointing quarterly result by Infosys and latest data which showed a slowdown in industrial output for the second consecutive month in May also had an impact on trader sentiments.
The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 18,823.19 points, closed at 18,411.62 points, down 309.77 points or 1.65 percent from its previous close at 18,858.04 points.
The 50-scrip S&P CNX Nifty of the National Stock Exchange also closed lower at 5,526.15 points, down 1.6 percent.
Broader markets too edged lower with the BSE midcap index closing 1.09 percent down and the BSE smallcap index ending 0.94 percent lower.
The market breadth was negative with 946 stocks advancing, 1,848 on the decline and 137 remaining unchanged.
All 13 sectoral stocks on the BSE closed in the red. IT, realty and telecom stocks were among the major losers.
There were only two gainers on the 30-scrip Sensex: ONGC, up 0.32 percent at Rs.281.50 and Hindustan Unilever up 0.17 percent at Rs.332.50.
The losers on the benchmark were Infosys, down 4.27 percent at Rs.2,794.25; DLF, down 3.84 percent at Rs.220.35; M&M, down 3.02 percent at Rs.703.05 and Jindal Steel, down 2.99 percent at Rs.615.60.
According to data available with the Securities and Exchange Board of India, foreign institutional investors bought stocks worth $106.9 million Tuesday.
Fears that the sovereign debt crisis faced by countries like Greece will spill over to larger European markets spooked global markets.
Asian markets closed in the red.
The Nikkei of the Japanese stock exchange closed 1.43 percent down at 9,925.92 points.
The Hang Seng of the Hong Kong stock exchange ended 3.06 percent lower at 21,663.16 points, while the Chinese Shanghai composite index closed 1.72 percent down at 2,754.58 points.
Among European bourses, Britain's FTSE 100 was ruling 1.66 percent down at 5,830.66 points, the French CAC 40 was ruling 2.36 percent lower at 3,717.7 points.
The German DAX was down 2.1 percent at 7,078.19 points