Renewed concerns over decelerating Indian economic growth,China showing slower pace of manufacturing expansion and euro-zone worries pulled down the BSE benchmark Sensex by 253 points to close below 16,000 mark at 15,965.16.
Shares of auto,capital goods,refinery,banking and consumer durables declined sharply due to heavy selling.
The BSE Mid-cap index outperformed the Sensex,falling 1.34 per cent,and the BSE Small-cap index underperformed the Sensex,falling 1.96 per cent.
The economic growth rate slowed to a nine-year low,both in the March quarter at 5.3 per cent as well as in 2011-12 at 6.5 per cent.
The market declined even as Finance Minister Pranab Mukherjee said the government will take necessary steps to improve growth. The Finance Ministry also announced a slew of austerity measures to cut the government expenditure.
Asian markets were influenced by lesser-than-expected growth in the China’s manufacturing,while troubles in Spain and Ireland affected the sentiment in Europe.
The BSE benchmark Sensex resumed higher at 16,289.82 and hovered in a range of 16,544.38 and 15,933.48 before ending the week at 15,965.16,showing a net loss of 252.66 points,or 1.56 per cent.