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Nifty ends below 7,000, Sensex slumps more than 3 percent

Reuters
A broker reacts while trading at his computer terminal at a stock brokerage firm in Mumbai, India, August 24, 2015. REUTERS/Danish Siddiqui/Files

MUMBAI (Reuters) - The NSE Nifty fell 3.4 percent on Thursday to the lowest since May 2014, its biggest daily fall in nearly six months as fears of a slowdown in the global economy hammered markets worldwide.

The Nifty ended at 6,976.35, below the psychologically key level of 7,000 for the first time since Prime Minister Narendra Modi was elected in May 2014.

The 3.4 percent fall was the biggest posted by the Nifty since August 24 of last year, when markets were hit hard by sharp falls in Chinese equities.

The benchmark BSE Sensex fell 3.3 percent.

Among decliners, State Bank of India (SBI.NS) shares fell 3 percent after the company said its quarterly net profit fell nearly two-thirds, below estimates.

(Reporting by Rafael Nam; Editing by Anupama Dwivedi)