Re gains 49 paise; Sensex down 145 points

Weakness in the European markets triggered selling,mainly in the refinery,realty,auto,capital goods,public sector units,metal and power sectors.

The broader Nifty at the NSE declined 42.30 points,or 0.72 per cent,to 5,816.70. The SX40,of the MCX-SX,dropped 64.41 points,or 0.56 per cent,to 11,533.78.

On the currency front, bankers said that measures taken by regulators may provide a temporary reprieve for the rupee and could see a pullback in the dollar-rupee exchange rate.

However,they say uncertainty over the rupee remains high even as the rupee started showing signs of strengthening against other Asian currencies from current levels.

The recent steps taken by the central bank and a recovery in the euro have helped the rupee to post gains against the US dollar today. The US FOMC minutes today are the key event for the forex markets, said Abhishek Goenka,founder amp; CEO,India Forex Advisors.