Sensex ends 273 pts lower, Nifty at 10,671; PSU banks decline


Mumbai, Jun 27: The markets ended lower on Wednesday due to a rise global crude oil prices and rupee hitting a 19-month low during the day, while traders turned cautious a day before the expiry of June derivatives contracts.
The S&P BSE Sensex ended at 35,217, down 273 points while the broader Nifty50 index settled at 10,671, down 98 points.
Among sectoral indices, the Nifty PSU Bank index ended 2.4% lower led by a fall in the shares of IDBI Bank, Syndicate Bank and Bank of India. Shares of public sector banks (PSBs) fell on concerns of stress in the banking sector after the Reserve Bank of India (RBI) on Tuesday said Gross NPA ratio of banks is likely to rise from 11.6 per cent in March 2018 to 12.2 per cent by the end of the current financial year ratio.
The rupee plunged by 30 paise to hit a 19-month low of 68.54 against the US dollar in early trade today on strong month-end dollar demand from importers and banks amid sustained foreign capital outflows. This is the rupee’s lowest level against the greenback since November 29, 2016.
Asian share markets were under stress on Wednesday as further falls in Chinese stocks and the yuan sent ripples across the region, while oil climbed as the United States leaned on allies to stop buying Iranian crude. Chinese blue chips sank 2.2 per cent to be a whisker above 13-month lows as a resolution of Sino-US tensions remained a distant prospect.
MSCI’s broadest index of Asia-Pacific shares outside Japan lost another 0.6 per cent after touching a two-year trough on Tuesday.