Sensex drops 195 points, Nifty below 10,400

The benchmark BSE Sensex dropped 195 points or 0.57 per cent in afternoon trade due to increased selling in bluechips led by Tata Steel , SBI and Larsen & Toubro.

Metals, industrials, banks, financials, telecom, realty, FMCG and oil&gas stocks declined.

The BSE Sensex trading down 194.17 points or 0.57 per cent at 33,816.59 186.29 at 1230 hrs.

The broader Nifty 50 index trading below the key 10,400-level at 10,392.60, down by 59.70 points or 0.57 per cent.

Major losers were Tata Steel 5.00 per cent, SBIN 3.39 per cent, L&T 2.74 per cent, Indusindbk 1.98 per cent and Adani Ports 1.87 per cent.

Foreign portfolio investors (FPIs) sold shares worth Rs 1,065.99 crore on net basis, while domestic institutional investors (DIIs) bought equities to the tune of Rs 1,127.78 crore last Friday, provisional data showed.

Overseas, Asian markets were trading higher as sentiment improved gradually from a recent shakeout that stemmed from fears of creeping inflation and higher borrowing costs. Markets in China, Hong Kong and Taiwan remain closed for the holiday.