Sensex bleeds after Varanasi blasts

The blasts in Varanasi, one of the holiest pilgrimage centres for Hindus, also wounded dozens of people.

The BJP and VHP called for a strike in Varanasi even as top leaders appealed for calm. Armed police have stepped up vigil at temples and public places across India.

8220;Sentiment will turn cautious because of this terror attack but I don8217;t see any major damage taking place on the indices. Overseas and domestic interest in India remains high,8221; Sanjay Dutt, director at Quantum Securities, said.

The main 30-share BSE index hit a record high on Tuesday, but ended slightly lower at 10,725.67 points.

Foreign funds have ploughed 419 million into Indian shares so far in March, taking the total to about 2.85 billion since January on expectations for strong growth in Asia8217;s third-largest economy.