Mumbai, Jun 18 : Wiping off early gains, the BSE benchmark Sensex slipped into negative zone by plunging over 406 points in the afternoon trade on selling by funds and retail investors, tracking weak global cues amidst deepening crisis in Iraq. The 30-share index, which gained over 54 points in the morning trade, was trading 406.89 points, or 1.59 per cent, down at 25,114.30 in the afternoon trade.

All the sectoral indices led by power, realty, PSU and oil gas were trading in negative territory with losses up to 2.59 per cent. In a similar fashion, the National Stock Exchange index Nifty was down 116.20 points, or 1.52 per cent, at 7,515.50 after rising to 7,663.00 in early trade.

Brokers said sentiments dampened after funds indulged in selling, tracking a weak trend on other Asian bourses amidst tension in Iraq that led to rise in global crude prices. Stocks of RIL fell 1.50 per cent to Rs 1,073.60 despite company saying it will invest Rs 1.8 lakh crore across businesses over the next three years and launch the much-awaited 4G broadband services in 2015.

Among the prominent losers, ONGC fell by 1.11 per cent, followed by SBI (0.81 per cent), Sesa Sterlite (1.46 per cent) and Larsen and Toubro (1.45 per cent).