Sectoral trends on NSE
The S&P BSE Sensex ended at 34,299, down 175 points, while the broader Nifty50 index settled at 10,301, down 47 points.
Among the sectoral indices, the Nifty Auto index fell 2.6 per cent led by a sharp fall in Tata Motors. The Nifty FMCG index, too, fell 2 per cent dragged by ITC.
Shares of Tata Motors hit a near seven-year low of Rs 170.65 per share, down 19.8 per cent on the BSE in intraday trade on Tuesday, after the company-owned Jaguar Land Rover (JLR) on Monday, reported a 12.3% year on year (YoY) decline in global sales at 57,114 units in September, hit by lower demand in China. The stock was trading at its lowest level since December 19, 2011, on the BSE. It eventually settled 13 per cent lower at Rs 184 on the BSE.
Investor sentiment was also dampened after the company announced the shutdown of its West Midland plant for two weeks due to weak global demand.
The IMF added to the malaise by cutting forecasts of global growth for both this year and next, including downgrades to the outlook for the United States, China and Europe.
(with wire inputs)