Benchmark indices reduced some losses in the afternoon session. However, the bearish tone continues amid weak global cues. At 2.40-pm, the Nifty regained 11,010 level, and Sensex touched at 37608-level, down by 862 points. However, increased selling still vibrant in Media, Metal and banking stocks.
Bajaj Auto, Maruti Suzuki, Gail India, Asian paints come out in the green, while Yes Bank, Tata Motors and Zee Entertainment were top losers.
Looking at the major reasons behind the market fall today, the following points are mainly factored:
1) Yes Bank saw a heavy beating today and it has plunged more than 73 percent intraday, however, it has regained after hitting a record low of Rs.5.60-per share on the NSE. The bank was placed under a moratorium, with the RBI capping depositor withdrawals at Rs.50,000 per account for a thirty-days-period.
2) Viewing Coronavirus updates, as per the latest data from the WHO, about 95,270 globally have been affected by the deadly virus thus far, while about 3,280 lives have been taken worldwide.
3) Asian stocks were seen under pressure today afternoon amid investor worries over the coronavirus outbreak. Effectively, the Nikkei-225 and Topix indices have slipped over 3-percent, while South Korea’s Kospi down 2.3-percent, Hang Seng index slipped over 2.10-pc and the Shanghai Composite was slipped by about 1-percent each.
4) Indian Rupee slumped 65-ps to 74-level against the USD amid continued FX outflows in view of weak global growth concerns.
5) Foreign-Institutional-Investors or FIIs have been pulling back money from the Indian market to a greater extent. In the last weeks-they have reportedly withdrawn a net Rs18,343-cr from Indian markets.