Sensex Tumbles By Over 800 Points Amid Greek Crisis And Falling Crude Oil Prices

Amid political crisis in Greece and falling crude oil prices, the Sensex tumbled by over 854.86 points, which is one of the worst falls, to trade at 26,987.

In the opening trade, Sensex slumped over 588 points owing to heavy selling by funds and investors. As selling pressure reached its momentum, the Sensex registered a sharp decline by 854.86 points before it closed for the day.

Dipen Shah, head of Private Client Group Research, Kotak Securities, said, “The sharp fall in markets came as a surprise and was likely driven by the weak global markets. There are concerns about the weakness in the global economy (crude prices have been falling sharply) as well as the after-effects of a potential exit of Greece from European Union (EU). The sustained fall in crude prices is positive from the Indian economy’s point of view, though.”

“In the near term, mixed set of quarterly numbers and global volatility are likely to restrict significant gains in markets. The central government’s action on getting reforms on track (within or outside the budget), as well as potential decline in interest rates are the likely triggers for a further re-rating in the medium-to-long term,” he added.

Today, some of the major losers of the Sensex were ONGC, Sesa Sterlite, Tata Steel, HDFC, Reliance Industries, BHEL, Tata Motors, ICICI Bank, and others.
(Image: BCCL)