Rising Covid-19 Cases Wreak Havoc In Stock Market: Rs 2.16 Lakh Crore Wiped Off
The first day of the week witnessed market crashing in the light of sharp spike in the coronavirus cases in the country which led to investors’ wealth tumbling over Rs 2.16 lakh crore at close of trade.
Before closing at 870.51 points or 1.74 per cent lower at 49,159.32, BSE benchmark Sensex plummeted 1,449.03 points to 48,580.80 intra-day.
Indian Indices Taking A Hit
This led the market capitalisation of BSE-listed companies to reach Rs 2,05,09,835.27 crore at close of trade from Rs 2,16,566.52 crore. As many as 25 companies closed lower, this decline was led by Bajaj Finance, IndusInd Bank and State Bank of India. On the contrary, apparently IT companies gained from the spike. HCL Tech is the one that topped the gainers’ chart with a jump of 3.08 per cent.
Despite the stability globally, the Indian indices took a nosedive and ended with losses. The reason behind Indian markets starting the week on a negative note is the sharp surge in COVID-19 cases across the country.
Even Broader Markets Not Immune
Ajit Mishra, VP – Research, Religare Broking Ltd said that even broader markets were not immune to the spike as both BSE midcap and smallcap ended with losses of 1 per cent each.
While sectors like IT, technology, metal and telecom ended in the green, sectors like BSE realty, bankex, finance and auto took a blow and their indices tanked up to 3.62 per cent.