Markets end in negative note: Sensex slides 470 points to close at 30,690, Nifty below 9,000-mark; indices dragged by auto, realty, banking stocks

At close, the Sensex tumbled 469.60 points or 1.51 percent at 30690.02, while Nifty was down 118.05 points or 1.30 percent at 8993.85. About 1194 shares have advanced, 1171 shares declined, and 201 shares are unchanged.

FP Staff April 13, 2020 16:14:08 IST
Markets end in negative note: Sensex slides 470 points to close at 30,690, Nifty below 9,000-mark; indices dragged by auto, realty, banking stocks

The benchmark indices ended lower with Nifty below 9,000-level dragged by auto, realty and banking names.

At close, the Sensex tumbled 469.60 points or 1.51 percent at 30690.02, while Nifty was down 118.05 points or 1.30 percent at 8993.85. About 1194 shares have advanced, 1171 shares declined, and 201 shares are unchanged.

After hitting a low of 30,474.15 during the day, the 30-share BSE barometer ended 469.60 points or 1.51 percent lower at 30,690.02. Similarly, the NSE Nifty dropped 118.05 points or 1.30 percent to 8,993.85.

Markets end in negative note Sensex slides 470 points to close at 30690 Nifty below 9000mark indices dragged by auto realty banking stocks

Representational image. Reuters.

Bajaj Finance was the top laggard in the Sensex pack, slumping over 10 percent, followed by M&M, Titan, Hero MotoCorp, ICICI Bank and Tech Mahindra. On the other hand, L&T, Bharti Airtel, IndusInd Bank, UltraTech Cements and NTPC were among the gainers.

Sensex heavyweights HDFC twins fell as much as 3.12 percent, while Reliance Industries shed 2.46 percent. ICICI Bank dropped 3.44 percent.

Bajaj Finance, Zee Entertainment, Bajaj Finserv, M&M and Titan Company were among major losers on the Nifty, while gainers were L&T, Hindalco, Bharti Airtel, Adani Ports and IndusInd Bank.

On sectoral front, realty index fell 5 percent followed by auto, bank, energy, IT and FMCG. However, buying seen in the metal, pharma and infra sectors. BSE Midcap and Smallcap indices ended lower.

Indian bourses opened on a negative note tracking subdued global market peers in Asia, said Narendra Solanki, Head- Equity Research (Fundamental), Anand Rathi. "Sentiments remained downbeat due to rise in COVID-19 cases in the country and fears of extended lockdown weighed in which led sell-off and short-term profit booking in most financial services and bank stocks," he noted.

Deepak Jasani, Head Retail Research, HDFC Securities, said the markets ended Monday after witnessing a mildly volatile session. The Nifty closed 1.3 percent lower at 8993.

"Financials came under pressure on renewed worries over low credit growth and higher slippages. Metals and telecom stocks were however in demand. Volumes in the market were lower than the average of the past few sessions, with European fund managers on holiday due to Easter being one reason. Market participants are awaiting the outcome of Prime Minister Narendra Modi’s address to the nation on 14 April at 10 am. As global coronavirus cases exceed 1.8 million, the World Bank has warned that South Asia is on course for its worst economic performance in 40 years. Risk aversion has returned globally as US continued to report most number of active cases and deaths while Europe is seeing slower addition to cases/deaths. Nifty could take support over the next few sessions in 8654-8819 band while 9131 could provide tough resistance.

MPC minutes reiterate focus on mitigating COVID-19 risks to economy

The impact of the novel coronavirus outbreak on the Indian economy would depend on the depth, duration and diffusion of the crisis, the Reserve Bank of India said in the minutes of its emergency monetary policy committee (MPC) meeting in March.

The RBI in late March cut its main short-term lending rate by a larger than expected 75 basis points and took several measures to infuse liquidity in to the banking system to counter the economic fallout from the COVID-19 outbreak.

“There is an unprecedented uncertainty about the exact impact COVID-19 will have on the near-term growth outlook. Though difficult to quantify, it is clear that aggregate demand will weaken significantly in the near future, which will impact the growth prospects for the year as a whole,” wrote RBI executive director and MPC member Janak Raj, Reuters said.

“The main challenge for monetary policy at this juncture is to ensure that the adverse impact of COVID-19 on domestic demand is not amplified.”

Several analysts have cut their 2020/21 GDP growth forecasts to 1.5-2 percent, its lowest in decades, while the RBI has officially refrained from providing any GDP projection on account of the rapidly evolving situation.

Rupee settles on flat note at 76.27 against US dollar

The rupee pared initial losses and settled for the day on a flat note at 76.27 (provisional) against the US dollar on Monday amid weakening of the greenback in international market.
Forex traders said the rupee is trading in a narrow range as losses in the greenback supported the rupee, while weak domestic equities weighed on the local unit.

Moreover, investor confidence strengthened after the minutes of the central bank''s policy meeting revealed that the RBI will use any instrument necessary to revive growth and preserve financial stability.

"The Reserve Bank will continue to remain vigilant and will not hesitate to use any instrument – conventional and unconventional – to mitigate the impact of COVID-19 , revive growth and preserve financial stability," Reserve Bank of India (RBI) Governor Shaktikanta Das said.

At the interbank foreign exchange market, the local currency opened at 76.32, but witnessed heavy volatility and touched a low of 76.45 against the American currency.

The domestic unit pared the losses and finally settled at 76.27 against the greenback, up 1 paise over its previous close.

The rupee had settled at 76.28 against the US dollar on Thursday.

Forex market was closed on April 10 on account of Good Friday

Updated Date:

also read

Arvind Kejriwal demands 2.6 cr COVID-19 vaccine doses, aims to inoculate all Delhi residents in 3 months
India

Arvind Kejriwal demands 2.6 cr COVID-19 vaccine doses, aims to inoculate all Delhi residents in 3 months

In an online briefing, the Delhi chief minister also said that the state govt will increase the vaccination centres from 100 to 300

European football clubs caught between a financial pit and hallowed grounds
Sports

European football clubs caught between a financial pit and hallowed grounds

As European football clubs struggle to make up for revenue lost in the pandemic, one untapped source of revenue is stadium naming rights, but exploiting them may not be straightforward.

Sunil Chhetri gives Twitter access to 'real life captains' to help share information on COVID-19 resources
Sports

Sunil Chhetri gives Twitter access to 'real life captains' to help share information on COVID-19 resources

Chhetri, who had himself tested positive for COVID last month, also urged fellow Indians to contribute and help those in need in whichever way possible.