Mumbai, May 7 - The BSE benchmark Sensex plunged nearly 290 points in early trade today, extending losing streak for the fourth straight session, on sustained selling by funds amid a weak trend on other Asian bourses.

The 30-share barometer, which had lost over 488 points in the last three sessions, plunged further by 289.85 points, or 1.72 per cent, down at 16,541.23 points with banking, realty, capital goods, metals and auto stocks leading the fall.

The wide-based National Stock Exchange index Nifty dipped below psychological 5,000 points level to trade 91.15 points down, or 1.79 per cent, to 4,995.70 points.

Brokers said continued selling by funds amid a weak trend on other Asian markets over fresh concerns about the euro zone debt crisis following defeat of ruling parties in France and Greece elections, mainly put pressure on the index.

In addition, weakening rupee also dampened the trading sentiments, they said. All sectoral indices were trading in the negative zone with losses up to 2.74 per cent.

In the Asian region, the Hong Kong's Hang Seng index fell by 2.40 per cent, while Japan's Nikkei was down by 2.60 per in the early trade today. PTI