Mumbai:  The BSE benchmark Sensex tanked over 244 points in early trade on Thursday on increased selling by funds and retail investors after Infosys failed to meet its dollar revenue guidance and also cut its dollar forecast for FY 2013.

The 30-share barometer, which had lost 129.21 points in Wednesday's trade, fell further by 244.96 points, or 1.40 percent, to 17,244.18 in early trade. IIP data and TCS June quarter results are expected later in the day.

All sectoral indices, led by IT and realty, were trading in the negative zone with losses up to 4.85 percent. Similarly, the wide-based National Stock Exchange Nifty index declined by 72.00 points, or 1.35 percent, to 5,234.30.

Brokers said market sentiments dampened after Infosys issued weak revenue guidance for the fiscal year ending March 2013. The company's Q1 FY 13 consolidated net profit up by 32.92 percent at Rs 2,289 crore but weak revenue guidance for the fiscal year ending in March 2013.

They said a weakening trend on the Asian bourses following overnight losses on the US markets also had a negative impact. Infosys tumbled 10.14 percent to Rs 2,216.05 following a much lower-than-expected revenue guidance for the fiscal ending March 2013, dragging down down the IT sector index, which suffered the most by losing 4.85 percent, traders said. Infosys has 8.12 percent weight in the 30-share Sensex pack.

In the Asian region, the Hong Kong's Hang Seng index fell 1.75 percent, while Japan's Nikkei shed 0.67 percent in the morning trade on Thursday. The US Dow Jones Industrial Average ended 0.38 percent lower in Wednesday's trade.

(Agencies)

Latest News  from Business News Desk