The BSE benchmark index, Sensex, today dropped by 115 points to a three—week low on persistent selling, mainly in IT and oil& gas stocks, as global investors were spooked by worsening Greek debt default in Eurozone.

Extending losses for the third successive day, the BSE 30—share Sensex closed down by 115.35 points, or 0.64 per cent, to 17,870.53. In three days of straight losses, the key index has lost 438.35 points.

The 50—share Nifty of NSE also fell by 30.35 points or 0.56 per cent to 5,366.40 from its last close.

“Global markets weakened on fears of a Greek debt default, sending jitters back home. High volatility and selling pressure in heavyweights across sectors further aided the downtrend,” Bonanza Portfolio Senior Research analyst Shanu Goel said.

Market leader Reliance Industries (RIL) remained under severe selling pressure and further lost 2.21 per cent which had a cascading effect on markets, market players said.

But it was IT stocks that were the biggest losers of the day, led TCS and Infosys. TCS lost a hectic 3.5 per cent, Wipro 1.64 per cent and Infosys 1.29 per cent. Brokers said a weak economic data in the US and continuing sovereign debt crisis in Europe, the markets from where the software exporters earn most of their revenue, weighed on them.

Interest rate sensitive auto stocks were another big casualty with M&M and Maruti shedding 2.02 and 1.85 per cent, respectively. Investors feared their sales will plunge in the present hard interest rate regime, impacting bottom lines.

Bucking the trend, Tata Steel notched up an impressive 3.45 per cent gain after the company decided to divest its entire 26.72 per cent stake in Riversdale for a cool over Rs 5,000 crore, an appreciation of 100 per per cent

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