Indian stock markets fell sharply in early noon trade with banking stocks leading the losses. The Nifty fell below the 9,950 mark while the Sensex declined over 350 points. Banking stocks, which have outperformed in the recent rally, fell sharply with the sectoral index Bank Nifty down over 1.2 per cent. The broader markets also came under strong selling pressure with BSE midcap and smallcap indices falling over 1 per cent.
Among the banking stocks, SBI, Bank of Baroda and Yes Bank were down over 2 per cent. Heavyweights ITC and Reliance Industries also fell over 1 per cent.
Asian shares went flat on Tuesday as disappointing Chinese trade data clouded the otherwise upbeat outlook on global growth. MSCI’s broadest index of Asia-Pacific shares outside Japan gave up modest early gains to be barely changed, though it was still within a whisker of its recent decade high.