Sensex nosedives 1,939 points amid weak global cues and rising bond yields

A broad-based sell-off in equities and weak global cues amid rising bond yields played a Black Friday for Indian stock markets.

The BSE S&P Sensex closed 1,939 points or 3.8 per cent lower at 49,100 while the Nifty 50 tumbled by 568 points or 3.76 per cent to 14,529.

The global selloff was triggered by an overnight sharp rise in US 10-year treasury yields. When bond yields rise, equity markets generally underperform.

Rising oil prices and the US airstrikes on Syria led to the negative sentiments of investors who feared foreign outflows and reversal of interest rate cycle.

All sectoral indices at the National Stock Exchange were in the red with Nifty private bank crashing by 4.8 per cent, PSU bank by 3.9 per cent and financial service by 5 per cent.

Among stocks, energy major ONGC slipped by 6.6 per cent to Rs 111.15 per share while GAIL was down by 6.5 per cent to Rs 141.20.

Axis Bank ticked lower by 5.9 per cent and Kotak Mahindra Bank by 5.8 per cent. JSW Steel, Hero MotoCorp, Power Grid Corporation, Bajaj Finserv and Mahindra & Mahindra posted losses of over 6 per cent each.

Meanwhile, Asian stocks skidded to one-month lows as a rout in global bond markets sent yields flying and spooked investors amid fears the heavy losses suffered could trigger distressed selling in other assets.

Japan's Nikkei shed 3.99 per cent to a three-week low. Hong Kong's Hang Seng dipped by 3.64 per cent and South Korea's Kospi cracked by 2.8 per cent. The Shanghai composite index was down by 2.12 per cent.

( With inputs from ANI )