Mumbai: In the worst-ever week in the history of bourses, the Sensex plunged by a record 600 points wiping out over Rs 1,72,800 crore of shareholder wealth in five trading sessions as investors pressed sell button in reaction to political developments at the Centre.

The PSU and Banking sectors were hard hit as these stocks faced the investors' wrath after the Communist Party of India - Marxist (CPM) and Communist Party of India (CPI), whose support is vital for the Congress to form the Government, made it clear yesterday (May 14, 2004) that disinvestment policies be scrapped indicating their opposition to privatisation of profitable PSUs.

As a result, both the sectoral indices recorded historic falls. The BSE-PSU Index collapsed by 903.80 points or 21.90 per cent to end the week at 3223.32 from 4127.12 last weekend.

The Bankex also dived by 540.31 points or 16.99 per cent to 2639.98 from 3180.29 at the last weekend.

The BSE Benchmark 30-share Index, which witnessed the fifth largest intra-day swing of 372 points yesterday, crashed by 599.71 points or 10.58 per cent to finish the week at the six-month low at 5069.87 from last weekend's close of 5669.58.

This makes the largest-ever weekly fall in terms of points in the BSE history.

The Sensex had crumbled by 586.74 points in a week from May 8 to 12, 2000, when IT bubble burst.

Foreign institutional investors (FIIs), which made heavy net sales of Rs 1,897 crore in the first four days following indications of hung Parliament after the final round of elections on May 10 followed by the TDP's rout in AP Assembly elections, pressed across-the-board sell-off on the last day.