Markets

Bears beat down stocks in last hour of trade

Gettyimages/istock

Gettyimages/istock  

Banking stocks lose ground

A selling bout in the last hour of the trading session pulled down the equity benchmarks with the Nifty falling below the psychological 9,000-mark for the first time since March 2017.

The 50-share Nifty lost 230.35 points, or 2.5%, to close at 8,967.05. The India VIX index surged 7% more on Tuesday. The Sensex, which was trading in the green for most part of the trading session on Tuesday, fell sharply in the last hour to close at 30,579.09, down 810.98 points, or 2.58%.

The volatility in the last hour saw financials lose ground as stocks such as ICICI Bank and State Bank of India were among the top losers in the Sensex pack.

Incidentally, the BSE Bankex was the worst performer among the sectoral indices, shedding 1,181 points, or 4.46%. Market participants say stocks may remain volatile in the near future as fresh cases of COVID-19 emerge from regions outside China, thereby adversely affecting global growth.

“As cases blow up in Europe and North America, fear is growing in Asia of the possibility of a second wave of infections from imported cases, which is driving risk aversion in markets globally,” said Pankaj Bobade, Head - Fundamental Research, Axis Securities.

“Coordinated easing by various central banks has helped easing liquidity situation in the equity markets but has limited impact on the sentiments of the market participants,” added Mr Bobade.

On BSE, as many as 1,677 stocks declined on Tuesday, as against 751 gainers. Further, 354 stocks touched their lower circuit.

As per provisional numbers, foreign portfolio investors were net sellers at ₹4,044.69 crore on Tuesday.

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Printable version | Apr 2, 2020 3:32:41 AM | https://www.thehindu.com/business/markets/bears-beat-down-stocks-in-last-hour-of-trade/article31093128.ece

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