Sensex dives more than 350 points; Ingenious below 10,900

NEW DELHI: Tuesday's equity indexes began on a weak note with the benchmark BSE sensex falling more than 350 points amid trade friction between the United States and China. The weak growth data of the central sector and the low number of GDP (gross domestic product) also affected investor sentiment.

The BSE index of 30 shares fell 356 points or 0.95 percent to slide below the 37,000 mark (36,977), while the largest NSE Nifty moved 134 points or 1.21 percent lower to 10,890.

Tata Motors, ICICI Bank, Tata Steel, Mahindra and Mahindra, ONGC, HDFC and SBI were among the main losers in sensex with their shares up to 4.20 percent.

In NSE, with the exception of Nifty IT, all subscripts were in red with Nifty PSU Bank and Bank falling to 2.60 percent.

The United States began imposing tariffs of 15 percent on a variety of Chinese products on Sunday and China began imposing new tariffs on US crude oil, the latest escalation in its trade war.

Although US President Donald Trump said both sides would still meet to talk later this month, tensions have shown little sign of diminishing.

The growth of eight central industries fell to 2.1 percent in July, mainly due to the contraction in the production of coal, crude oil and natural gas, according to government data published on Monday.

The eight main industries in the sector: coal, crude oil, natural gas, refinery products, fertilizers, steel, cement and electricity, expanded 7.3% in July last year.

GDP data has also shown a slowdown with a growth rate that fell to more than six years of 5 percent decline in the first quarter of the current fiscal year, mainly due to the sharp decline in the manufacturing sector, which registered an almost flat growth of 0.6 percent. penny.

(With agency contributions)