Sensex drops by 1,300, Nifty slips to 14,200 as states impose lockdowns amid fears over 2nd COVID wave
New Delhi | Jagran Business Desk: The bloodbath at the stock market continued on Monday after the Indian indices -- the 30-share BSE Sensex and Nifty -- opened in red with states and union territories (UTs) imposed weekend curfews, night curfews and partial lockdown amid fears over the second wave of COVID-19. While the Sensex plunged 1,318.21 points or 2.70 per cent to open at 47,513.82, the NSE Nifty dropped by 394.90 points or 2.70 per cent to open at 14,222.95.
All Sensex stocks were trading in red with Bajaj Auto as the top loser as it dropped by more than five per cent. Other losers in the Sensex pack were Bajaj Finance, ICICI Bank, IndusInd Bank, State Bank of India and Axis Bank. Though some of the companies -- Dr Reddy's, Sun Pharma, TCS, HCL Technologies and Infosys -- were performing better than stocks, they were also down by nearly one per cent.
Stock market experts have blamed the second wave of COVID-19 behind the bloodbath at Dalal Street that has forced several states and UTs to imposed restrictions to break the chain of the novel infection.
"The health crisis India is going through and localised lockdowns and restrictions on economic activity warrant a market correction," news agency PTI quoted VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, as saying.
"But, this negativity need not reflect fully in the market since the global clues are positive. The sharp recovery in global growth led by the US and China augur well for markets globally," Vijayakumar added.
However, stock markets in other Asian countries -- China, Hong Kong, South Korea and Japan -- were not affected over rise in coronavirus cases and were trading on green in mid-session deals. Meanwhile, international oil benchmark Brent crude was trading 0.49 per cent lower at USD 66.44 per barrel.
Posted By: Aalok Sensharma