The market sentiment was crashed as credit rating agency Fitch downgraded the credit outlook on France and few other European countries. The downgrade in credit outlook may boost the borrowing cost of these countries.
Both European and US markets ended low on Friday and Asian economies also followed the trend. Mirroring a downward trend, Indian markets also witnessed a losing streak.
At 10.40 am IST, the benchmark BSE Sensex was seen trading at 15,251.10 down by 240.25 points or 1.55%. The NSE Nifty was seen trading at 4,577.25 down by 74.35or 1.60%.
Among sectoral indices on the BSE, all sectors were trading in negative terrain. Bankex and Realty were among the top losers.
In the Asia region, Hong Kong’s Hang Seng index was down by 2.52% and Japan’s Nikkei index lost 1.47% in morning trade today.
In the previous session on Friday, the domestic market closed on flat note as Sensex plunged. BSE Sensex closed at 15,491.35 down by 345.12 points or by 2.18% and then NSE Nifty ended at 4,651.60, down by 94.75 points or by 2%.