Weak rupee drags market

Markets have dipped to the day's low on continued selling pressure on metal and banking shares. A weakening rupee continued worry investors. The Sensex is down 329 points at 15,998. Nifty is down 97 points at 4,846.

Asian markets continued to slide with Hang Seng dropping 3% to 19,285. Nikkei and Shanghai Composite have shed over 1% each. Investors worried that Greece could exit the Euro even as several Japanese banks reported lower profits.

Meanwhile, the rupee hit a new lifetime low on Wednesday as global risk aversion and weak local fundamentals weighed on the local unit. The rupee hit 54.32 to the dollar, breaching slightly past 54.30, its previous low in mid-December.

BSE auto index has slipped 3.2% to 9,423. Metal and bankex are down 2% each. OIl & gas index has managed to hold on to some gains and is flat at 7,442.

HDFC is the biggest dragger among Sensex stocks. The stock is down 5% at Rs 613. Tata Motors, BHEL, ICICI Bank and Tata Steel have dropped 3-7% each. Among other losers, Maruti Suzuki, Hindalco, HDFC Bank and Jindal Steel.

However, GAIL India was the sole gainer among Sensex stocks -  up 0.8% at Rs 317.

BSE market breadth is negative. Out of 2,558 shares traded, 1,722 shares have declined while 730 shares have advanced.