Sensex falls around 300 points; foreign buying slows
The BSE Sensex and the Nifty fell over 1.5 percent as worried foreign investors reduce their pace of purchases, raising concerns that momentum will continue to wane after the benchmark hit a record high on November 3.
Foreign institutional investors (FIIs) bought shares worth Rs 800 million on Wednesday compared with more than Rs 10 billion each on Monday and Tuesday.
FIIs have bought over Rs 362 billion worth of Indian cash shares since August, sparking a rally in Indian shares since their 2013 lows hit on August 28.
Indian shares also weighed down as Asian stocks stumble and the dollar stands tall after minutes from the US Federal Reserve`s October meeting hints at stimulus tapering.
Among blue chip shares ITC Ltd fell 2.4 percent while HDFC Bank Ltd was down 1.3 percent.