Stocks slid again on Thursday, driving the CNX Nifty to a sub-5000 close, a level last seen 27 months ago. The BSE Sensex closed down by 2.2 per cent or 371.01 points, at 16,469.79.
Weaker global cues continued to affect stock markets everywhere as all European and US stocks were also trading in the red at the time of the closing of the Indian markets. Experts say that sentiment will continue to be gloomy and that volatility will remain in the markets.
“The situation has not changed significantly. Global markets are too well-connected. FII flows into India have been erratic and highly volatile,” said Mr E. Prasanth Prabhakaran, President, IIFL.
The US Dow Jones index was down by over 4 per cent at 9 p.m. IST; the DAX index had fallen by 6.18 per cent. All the major European indices had fallen by more than 4.6 per cent.
On Dalal street, banking and IT stocks were worst affected on Thursday. FIIs were net sellers at Rs 488.67 crore, while DIIs were net buyers at Rs 330.42 crore (both BSE and NSE).