New Delhi - India's key equity indices fell by nearly 4 per cent Tuesday on selling by foreign institutional investors amid growing cncerns of a global recession.

The Bombay Stock Exchange's benchmark 30-share Sensex dipped below the 9,000-points level to close at 8,937.20 points, about 3.81 below Monday's close.

The broader 50-share S&P CNX Nifty of the National Stock Exchange closed at 2683.15 points, about 4.16 per cent lower than its previous close.

Indian equities have lost about 56 per cent of their value since January.

Stock analysts said recession-related events in the United States, including the Citigroup's cutting of jobs, and weak trends in Asian markets had triggered a sell-off by foreign funds.

India's real estate leader DLF announced it had put several of hotel and housing projects on hold and would be cutting some jobs, NDTV television channel reported.

The weak Indian rupee, which depreciated by 29 paise to 49.63 against the dollar, also put pressure on stock prices.

Major losers in the Sensex were Reliance Industries, Infosys Technologies, Satyam Computers and several banks including market leaders State Bank of India and ICICI Bank. (dpa)