MARKET WRAP: Sensex tanks 1,203 pts on selling in IT, banks, FMCG stocks

All that happened in markets today

Nifty Bank index ended around 5 per cent lower at 18,202.50 levels. (Image: iSTOCK)

Equity market once again came under selling pressure on Wednesday as concerns over economic fallout due to nationwide lockdown to contain the spread of coronavirus (Covid-19) pandemic weighed on the investor sentiment. The S&P BSE Sensex lost 1,203 points or over 4 per cent to end at 28,265 while NSE's Nifty ended at 8,254, down 344 points or 4 per cent.

Meanwhile, MSCI has deferred its decision on increasing foreign inclusion factor (FIF) for the Indian markets. Many were hoping the index provider would increase India’s weight after news rules pertaining to FPI limits kicked in from April 1. This came as a surprise negative developments for the markets, which were as it facing weak trades after the opening bell.

Among Sensex stocks, Tech Mahindra (down over 9 per cent) emerged as the biggest loser on the index. TCS (down over 6 per cent), and Infosys (down 5.65 per cent) were next on the losers' list.

It was a bad day for auto stocks as well as most automakers posted dismal sales figures for March. Maruti Suzuki India Ltd (MSIL), the country's largest passenger car manufacturer, for instance, reported 47 per cent year-on-year fall in its total sales to 83,792 units while Ashok Leyland reported a whopping 90 per cent decline in total vehicles sales at 2,179 units.

As a result, Nifty Auto index ended 1.73 per cent lower at 4,649 levels with 13 out of 15 constituents ending in the red.

Nifty Bank index ended around 5 per cent lower at 18,202.50 levels. The government's proposed PSB merger scheme came into effect from today. The consolidation, that will merge 10 PSBs into four, comes at a time when the country and financial system is grappling with adverse fallout of the Covid-19 pandemic. READ MORE

In the broader market, the S&P BSE MidCap index ended over 2 per cent lower at 10,340 levels while the S&P BSE SmallCap index lost over a per cent to end at 9,507-mark.

Markets will remain closed on Thursday (April 2) on account of Ram Navami.

Global Markets

World markets fell on Wednesday as the coronavirus threat ensured an ugly start to the second quarter for equities and commodities. Tokyo’s Nikkei slumped 4.5 per cent after the worst plunge in factory activity in almost a decade. The pan-European STOXX 600 sank 3.2 per cent and Wall Street futures dived 3.1 per cent after a dire forecast of likely US coronavirus deaths.

Blue-chip Chinese stocks failed to hold their gains, however, though Australian shares bounced 3.5 per cent.

In commodity markets, oil slid to $25 a barrel on Wednesday, within sight of its lowest in 18 years, as a report showing a big rise in US inventories and a widening rift within OPEC heightened oversupply concerns.

(With inputs from Reuters)

4:02 PM

MARKET COMMENT | Vinod Nair, Head of Research at Geojit Financial Services

"The first day of the financial year started off on a negative note, impacted by the negative global markets and also domestic uncertainties with regards to Bank Stressed assets and Auto numbers. FIIs have net sold around Rs 62,000 crores in Equity in March and with virus infections increasing, markets are anticipating a worsening of the situation."

3:55 PM

SECTOR WATCH | Nifty IT tumbles around 5.5%

3:50 PM

MARKET AT CLOSE | Top losers and gainers on the S&P BSE Sensex

3:40 PM

CLOSING BELL

The Sensex slipped 1,203 points or over 4 per cent to 28,265.31 levels while the NSE's Nifty50 ended at 8254 points, down 344 points or 4 per cent.

3:29 PM

BSE IT index tumbles 5.6%

3:20 PM

MARKET CHECK

3:09 PM

MARKET HOLIDAY :: Markets to remain shut tomorrow on account of Ram Navami

3:06 PM

NEWS ALERT :: SBI relaxes payment obligation timeline for OTS, Rin Samadhan, General compromise Schemes by 3 months: CNBC VT18

3:05 PM

Asia's factory activity plunges as coronavirus shock deepens: Reuters

Factory activity contracted sharply across most of Asia in March as the coronavirus pandemic paralyzed economic activity across the globe, with sharp falls in export power-houses Japan and South Korea overshadowing a modest improvement in China.

2:57 PM

NEWS ALERT :: India's fiscal deficit in 2020-21 may shoot up to 6.2%: Fitch

>> "At Fitch Solutions, we are revising our forecast for India's FY2020/21 (AprilMarch) central government fiscal deficit to widen to 6.2 per cent of GDP, from 3.8 per cent of GDP previously (estimated by Fitch Solutions), which reflects our view that the government will miss its initial target of 3.5 per cent by a wider margin," the agency said.

2:56 PM

NEWS ALERT | PM Narendra Modi to hold talks with all CMs via video conferencing tomorrow

2:52 PM

Top losers on the BSE at this hour

2:51 PM

NEWS ALERT :: Experiencing supply chain disruptions during lockdown: Divis Labs

>> Says, even though the Company has put in place a business continuity plan, due to the restriction in the movement of goods and employees, we anticipate certain delays in the deliveries of our products to our customers.

2:51 PM

Stocks that hit 52-week low on BSE today

COMPANY	PRICE(rs)	52 WK LOW	CHG(%)
ADITYA BIR. FAS.	150.00	147.60	-2.06
ASHOKA BUILDCON	39.40	39.40	-4.60
BHARAT FORGE	228.45	223.40	-2.41
CREDITACC. GRAM.	339.30	321.45	0.28
CUMMINS INDIA	306.70	305.00	-5.78

» More on 52 Week Low

2:49 PM

Covid-19: Trump approves 90-day delay of tariffs for most-favoured nations

Some 400 chief executives of small, medium, and large companies from across the country urged Trump in a letter on Tuesday to delay the collection of duties for a period of 90 to 180 days to give companies access to cash that would normally be paid to the the U.S. government, given virus-related shutdowns. READ MORE

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First Published: Apr 01 2020 | 7:46 AM IST