Sensex holds 25,000-mark, but plunges 274 points on GST concerns

Market benchmark Sensex managed to keep its head above 25,000-level, but extended losses to a sixth straight session today by taking a hit of 274.28 points as investors grew increasingly worried about a possible delay in the key tax reform bill amid sustained foreign fund outflows.

Mumbai: Market benchmark Sensex managed to keep its head above 25,000-level, but extended losses to a sixth straight session Wednesday by taking a hit of 274.28 points as investors grew increasingly worried about a possible delay in the key tax reform bill amid sustained foreign fund outflows.

The NSE Nifty, however, cracked below the 7,700-mark as a muted trend in global markets also didn't help.

Despite some stock specific action, profit-booking was the order of the day as investors mind lingered in a state of uncertainty as the Parliament business was hurt for a second day with the Opposition, Congress, holding noisy protests on the National Herald Case.

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"Logjam in Parliament is creating a hiccup in the Indian market since GST is expected to be passed in the Winter Session," Vinod Nair Head-Fundamental Research at Geojit BNP Paribas Financial Services.

Participants also blamed the foreign investors, who are continuously reducing their exposure in emerging markets in a run up to the first interest hike by the US Federal Reserve in nearly a decade.

The 30-share Sensex fell 274.28 points or 1.08 percent to close at 25,036.05, its weakest closing since September 7. During the day, it hovered between 25,012.22 and 25,316.95. The index has now lost 1,133.36 points in six sessions.

The broader NSE Nifty went below its crucial level of 7,700-mark by tumbling 89.20 points or 1.16 percent to close at 7,612.50.

Of the 30-share Sensex pack, 25 dropped while five led by BHEL, TCS and ITC, ended higher.

Sectoral indices, metal, healthcare, oil&gas, auto and realty were among the worst hit.

Metal space stocks bore the brunt with Vedanta, Tata Steel and Hindalco falling up to 5.57 percent, dragging down the the sectoral index by 3.07 percent.

The broader markets too felt the heat, with BSE small-cap and mid-cap indices falling 2.24 percent and 1.76 percent, respectively.

Asian stocks traded negative as China's struggled with its latest consumer price inflation data leading to further slowdown. Key indices in Asia, like China rose 0.07 percent while, Hong Kong, Japan, South Korea, Singapore and Taiwan moved down between 0.04 percent and 1.37 percent.

Europe was also down with indices in France and Germany falling by 0.43 percent 0.74 percent, respectively, while the UK index managed to edge up.