Equity benchmark, the BASE Sensex tumbled over 320 points in the morning session on Wednesday, tracking losses in index majors HDFC twins, Reliance Industries and ICICI Bank amid negative cues from global markets.

At around 10 am the 30-share BSE index was trading 342 points or 0.70 percent lower at 48,819, while the broader NSE Nifty fell 92 points or 0.62 percent to 14,758. HDFC was the top loser in the Nifty pack, shedding over 1.75 percent, followed by Tech Mahindra, Shree Cement, Kotak Bank and Mahindra & Mahindra. On the other hand, PowerGrid,  L&T, Tata Motors, SBI and NTPC were among the gainers.

In the previous session, Sensex ended 340.60 points or 0.69 percent lower at 49,161.81, and Nifty slumped 91.60 points or 0.61 percent to close at 14,850.75.

Foreign institutional investors (FIIs) were net sellers in the capital market as they offloaded shares worth Rs 336 crore on Tuesday, according to provisional exchange data.

The year-on-year inflation in the US is expected to come around 3.6 percent, pushed high mainly by the base effect and therefore may not sustain. But if the month-on-month inflation data shows a surge, the dovish Fed will be forced to take it seriously. Further, market participants will also keep an eye on domestic inflation and industrial production data, scheduled to be released later in the day.

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