Sensex extends losses, falls below 27,000-level

Witnessing heavy selling pressure in almost all the sectors, the benchmark BSE Sensex dipped below 27,000-mark to hit its lowest levels in almost 2-1/2 weeks, on fears of a drought in the country this year.
Meanwhile, India's services sector activity contracted for the first time in 13 months in May, largely due to decline in new order flows amid competitive pressure and natural disasters, an HSBC survey said today.
The 30-share Sensex resumed higher at 27,230.68 and hovered in a range of 27,276.22 to 26,975.79 before quoting 26,984.65 at 1115 hrs, showing a sharp fall of 203.73 points or 0.75 per cent.

The NSE Nifty was also quoted lower by 67.05 points or 0.81 per cent at 8,169.40 at 1115 hrs.
Major losers were Tata Motors at 4.22 per cent, ITC 3.48 per cent, Axis bank 1.94 per cent, ICICI Bank 1.82 per cent, HUL 1.80 per cent, SunPharma 1.74 per cent, Tata Power 1.73 per cent, Vedanta 1.64 per cent, Maruti 1.21, Bajaj Auto 1.06 and Hindalco 1.05 per cent.
Meanwhile, Foreign portfolio investors sold shares worth Rs 594.14 crore yesterday, while domestic institutional investors bought shares worth Rs 271.64 crore yesterday, as per provisional data.
Globally, Asian shares were trading mixed. Key indices in China, Hong Kong, Singapore and South Korea were up by 0.16 per cent to 0.61 per cent. Indices in Taiwan, Japan and Indonesia were down by 0.17 per cent to 1.55 per cent.

In New York, the US stocks ticked lower overnight as a jump in bond yields weighed on utilities, but optimism that Greece may be close to a deal with its creditors limited losses.