Sensex down over 118 points, PSU bank stocks hit

The BSE benchmark Sensex lost over 118 points in early trade on Tuesday, as banking stocks slumped due to international rating agencies downgrading debt rating of the nation's top three public sector lenders.

The 30-share Sensex, which lost 745.68 points in the previous two sessions, fell further by 118.18 points, or 0.59 per cent, to 19,782.78.

The wide-based National Stock Exchange Nifty declined by 34.75 points, or 0.59 per cent, to 5,855.00.

Earlier, global rating agencies-Moody's and Fitch-had downgraded the debt rating of the State Bank of India, the Bank of Baroda and Punjab National Bank over worsening credit quality and recapitalisation concerns.