Sensex slips below 27,000 level, plunges 185 points in early trade

The benchmark BSE Sensex tumbled over 185 points to dip below the 27,000-mark in early trade today on selling by funds and retail investors after industrial production growth slowed to 0.5% in July amid a weak trend in the Asian region.

The 30-share barometer slipped below the 27,000-mark by falling 185.55 points, or 0.69%, to 26,875.49 with metal, FMCG, power, capital goods and IT stocks leading the fall. The index had gained 65.17 points in the previous session on Friday.

On similar lines, the National Stock Exchange index Nifty moved down by 70.95 points, or 0.88%, to trade below the 8,100-mark at 8,034.55. In the metal sector, stocks of Tata Steel fell 2.19%, Sesa Sterlite shed 1.33% and Hindalco lost 2.43% in early trade. Brokers said selling activity emerged largely on disappointing economic data as the country's industrial production growth slowed to 4-month low of 0.5% in July but easing retail inflation to 7.8% in August from 7.96% in July, restricted the fall. Besides, a weak trend on other Asian bourses after data showing Chinese industrial output expanded in August at its slowest rate since the global financial crisis, influenced the sentiments, they said.

Among other Asian markets, Hong Kong's Hang Seng index was down by 0.75% in early trade, while Japan's financial markets are closed today for a public holiday.