Bears tighten grip: Market sell-off deepens on global recession fears

Sensex drops to lowest level since July; FPIs sell shares worth Rs 4,900 cr

India’s benchmark indices tumbled over 2.6 per cent on Thursday amid a heavy sell-off in global equities as overseas investors continued to dump domestic stocks due to fears of a global recession.

The latest selling pressure came after US retailers such as Walmart posted disappointing earnings, triggering the worst fall on Wall Street in nearly two years. Investors feared that soaring inflation would erode corporate profit margins, and steps to curb inflation by the US Federal Reserve would lead to a recession.

The Sensex plunged 1,416 points, or 2.6 per cent, to end at 52,792 -- the lowest close since July 30,