Sensex closes below 17,000 level

The wide-based National Stock Exchange index Nifty lost 75 points to close at 4,988.60 points.

Brokers said trading sentiment turned bearish after weak Asian markets. Inflation climbing to 1.21 per cent for the week ended October 10 was another negative factor,they added.

Downward march was further fueled as Moody’s Investors Service downgraded the ratings of 13 Indian commercial banks after its global review of systemic support indicators for individual banking systems,brokers said.

State-run SBI lost 2.50 per cent to Rs 2,325.70 and ICICI Bank fell by 4.08 per cent to Rs 891.05.

The BSE realty index fell the most losing 4.59 per cent to 4,524.28 points after Jaiprakash Associates and DLF registered heavy losses. Jaiprakash Associates plunged by 6.84 per cent. Realty major DLF closed lower by 4.93 per cent.

Among key Asian indices,Hong Kong’s Heng Sang fell by 0.48 per cent,while Japan’s Nikkei lost 0.64 per cent.

China’s Shanghai Composite closed down by 0.62 per cent,while Kospi dipped by 1.42 per cent.