Sensex down 372 pts on lower global growth forecast

Market benchmark Sensex tumbled 372 points to 24,107.75 in late morning deals on massive sell-off in banks, metals and capital goods stocks, tracking bearish overseas cues after IMF slashed global growth forecast.

Global sell-off on fresh worries over economic growth slowdown and sliding crude oil continued to batter sentiment.

In a quarterly update to its World Economic Outlook yesterday, IMF said the global economy will expand 3.4 per cent in 2016, down from an earlier estimated 3.6 per cent in October. It also trimmed its forecast for growth in 2017 to 3.6 per cent, down from 3.8 per cent three months ago.

However, IMF retained India's growth outlook at 7.3 per cent for the current fiscal and 7.5 per cent in the next two even as it lowered the world projection on slumping oil and commodity prices.

The BSE Sensex opened lower at 24,325.77 and slid to 24,025.11, it was quoting 24,107.75 at 1100 hours, down 372.09 points or 1.52 per cent.

The NSE Nifty was also trading below the key 7,400 mark, down 113.70 points or 1.53 per cent to 7,321.40.

Major losers were Adani Ports down by 4.91 per cent, BHEL 3.81 per cent, Coal India 3.50 per cent, SBI 3.33 per cent, Axis Bank 3.29 per cent, L&T 3.11 per cent, HUL 3.00 per cent and RIL 2.57 per cent.

Meanwhile, foreign portfolio investors sold shares worth Rs 857.70 crore yesterday, as per provisional data.

In overseas, Asian markets dropped as sliding oil prices heightened investor concern that the global growth outlook is worsening. While, US stocks finished mostly higher yesterday.