NEW DELHI: Equity indices plunged on Friday with the benchmark BSE sensex crashing over 1,250 points as the deadly coronavirus continued to infect markets, stoking fears of a prolonged world economic slowdown.
Sensex cracked 1,256 points or 3.14 per cent to 37,348 in early trade; while the broader NSE Nifty tanked 361 points or 3.15 per cent to 10,907.
Major laggards in the BSE pack include IndusInd Bank, SBI, Tata Steel, Mahindra & Mahindra, Axis Bank and Bajaj Finance with their stocks sliding as much as 10.23 per cent.
On the NSE platform, all the sub-indices were trading in red with Nifty PSU Bank, Private Bank and Bank falling as much as 4.58 per cent.
Banking shares traded under pressure after the Reserve Bank of India (RBI) on Thursday night superseded the board of directors of Rana Kapoor-promoted Yes Bank and limited cash withdrawal to Rs 50,000.
On the global front, Asian shares and US stock futures fell following another Wall Street rout as disruptions to global business from the coronavirus beyond China worsened.
The spread of a new coronavirus has accelerated so much in Europe, Britain and North America that investors who once played down the virus are now re-assessing the risks, which means more volatility in financial markets.
“Optimism overseas is fading and now people are really starting to question just how bad things will get,” Takuya Kanda, general manager of research at Research Institute in Tokyo, told news agency Reuters.
The flu-like virus emerged late last year in the central Chinese city of Wuhan and has since spread to more than 80 countries and has claimed more than 3,000 lives.
Travel restrictions and factory closings aimed at curbing the spread of the virus are expected to put downward pressure on global economic growth.
(With agency inputs)

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