Market Wrap, Feb 18: Indices off day's low, Sensex ends 161 pts lower

Indian equity markets continued to reel under pressure on Tuesday, weighed down by banking stocks which have significant exposure to Vodafone Idea debts and weak global sentiment owing to coronavirus outbreak.

The S&P BSE Sensex slid over 400 points, or 1 per cent, to 40,645 levels. NTPC (down over 5 per cent) was the biggest loser.  Besides, Tata Steel, NTPC, and Sun Pharma also slipped over 2 per cent each.

Ailing telecom player Vodafone Idea slipped over 11 per cent to Rs 2.91 apiece on the BSE after the Supreme Court dismissed its plea seeking relief from revocation of its bank guarantee. 

On the NSE, the broader Nifty50 index slipped below the crucial 11,950-mark, down 125 points or over 1 per cent. 

In the broader market, the S&P BSE MidCap index was trading over 1 per cent lower at 15,360 levels while the S&P BSE SmallCap index traded at 14,360, down 167 points or 1.15 per cent.

Shares of IndusInd Bank slipped 5 per cent to hit a fresh over three-year low of Rs 1,118 on the BSE on Friday despite the bank’s clarification that its exposure to the telecom company is standard.

The private sector lender's stock was trading at its lowest level since January 05, 2017.

Shares of cigarette major ITC were trading lower for the fourth straight day at Rs 200.50, down 2 per cent on the BSE on Tuesday on concerns of earnings growth due to demand slowdown. The stock hit over three-year low and was trading at its lowest level since February 29, 2016.

Thus far in February, ITC has underperformed the market by falling 15 per cent after the hike in the National Calamity Contingency Duty (NCCD) announced in the Union Budget this year.

GLOBAL MARKETS

US stock futures slipped from record levels on Tuesday after Apple Inc said it will not meet its revenue guidance for the March quarter as the coronavirus outbreak slowed production and weakened demand in China. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.20 per cent while Japan's Nikkei slid 0.59 pe cent.

In the commodities market, oil prices extended gains to hit their highest levels since the end of January.

Read by: Sukanya Roy