Sensex crashes 1,689 pts on black money crackdown, US election

On frantic selling, stock market benchmark BSE Sensex crashed nearly 1,689 points and Nifty plunged by over 541 points on early US election trends showing Donald Trump’s lead while government’s move to withdraw notes of higher denominations cast shadow on cash-focussed sectors.

Consequently, the Sensex nosedived by 1,688.69 points or 6.12 per cent to slip below the crucial 26,000-mark to trade at 25,902.45 with all the sectoral indices led by realty, consumer durables and auto tumbling by up to 10.78 per cent.On similar lines, the Nifty dropped 541.30 points, or 6.33 per cent, to 8,002.25.

Sentiment suffered a jolt following government’s surprise move to ban Rs 500 and Rs 1,000 currency notes in a bid to curb black money, triggered all-round selling, dragging down the key indices form their key levels.Besides, meltdown in global equities as polling numbers suggested that market-favoured Hillary Clinton is struggling in her bitter battle against Donald Trump for the US presidency dampened sentiments.

Moreover, the rupee weakening against the US dollar by 23 paise to 66.85 also had a bearing on the sentiment.