Sensex reverses early trend, nosedives 271 points

Mumbai: Market benchmark Sensex slipped from its initial gains and was trading below the crucial 23,000 level after plunging 271 points in late morning as selling re-emerged, tracking reversal of trend in Asian markets. Also, the broader NSE Nifty cracked below the-7,000 mark.

The Sensex after opening higher, advanced to 23,241.88 backed up by value-buying in recent losers but slipped into the red and dipped below the 23,000-mark by falling 271.13 points or 1.16 per cent, at 22,920.84 at 1015 hours.The 50-share Nifty also declined by 87.60 points or 1.24 per cent to 6,960.65 at 1015 hours.

Sentiment was dampened largely after Asian markets slipped into the negative terrain after an oil output freeze by Saudi Arabia and Russia disappointed investors, brokers said.Major losers were GAIL 2.62 per cent, SBI 2.56 per cent,Bajaj Auto 2.48 per cent, Tata Steel 2.45 per cent, Coal India 2.42 per cent, BHEL 2.28 per cent and Hero MotoCorp 2 percent.

Overseas, initial gains were wiped-off in other Asian markets too on profit-booking. Japan's Nikkei was quoting 1.55 per cent lower, while Hong Kong's Hang Seng shed 0.50 per cent. Shanghai Composite Index fell 0.24 per cent.