Share Market Update: Sensex, Nifty Tank Further As Lockdown Extension Triggers Selloff At D-Street


The Nifty50 on the National Stock Exchange (NSE) settled slightly below the psychological mark of 9,000 and the BSE Sensex additionally fell 469 factors to lose maintain of the 31,000 stage.


Mumbai: The Indian fairness market tumbled on Monday in anticipation that the nationwide lockdown shall be prolonged. The Nifty50 on the National Stock Exchange (NSE) settled slightly below the psychological mark of 9,000 and the BSE Sensex additionally fell 469 factors to lose maintain of the 31,000 stage.Weakness within the international markets additionally mirrored on the Indian indices, analysts mentioned. Sectorally, the highest gainers had been the BSE Telecom, Capital Goods and Metal indices and the key losers had been the BSE Realty, Consumer Durables, Auto and Banking indices.

On Monday, the Nifty50 settled at 8,993.85, decrease by 118.05 factors or 1.30 per cent from its earlier shut. The BSE Sensex closed at 30,690.02, decrease by 469.60 or 1.51 per cent from the earlier shut of 31,159.62.

It had opened at 31,195.72 and had touched an intra-day excessive of 31,195.72 and a low of 30,474.15 factors.

On the Sensex, the highest gainers had been Larsen & Toubro (up 6.57 per cent), Bharti Airtel (4.64 per cent) and IndusInd Bank (3.76 per cent), whereas the key losers had been Bajaj Finance (down 10.27 per cent), Mahindra & Mahindra (4.80 per cent) and Titan Company (4.73 per cent).

Vinod Nair, Head of Research at Geojit Financial Services, mentioned: “In spite of the hope that infections are peaking out in Europe, Indian markets closed negative with virus infections seen to be increasing in some regions of India. The Indian markets are awaiting the decision of the government regarding the current lockdown.”

“Government is expected to announce a plan for a staggered withdrawal from the lockdown. Any continuation of the lockdown in its current form will put further pressure on economic growth and corporate earnings and will have a negative impact on the markets,” he added.

Deepak Jasani, Head of Retail Research at HDFC Securities, famous that the broad market indices just like the BSE Midcap and Small Cap indices misplaced much less, thereby outperforming the Sensex and Nifty.

On the technical entrance, Jasani mentioned {that a} restoration from the lows helped to erase the losses to a sure extent.

“Technically, while the Nifty has corrected today, the underlying short term trend remains firmly up. The Nifty could now attempt to target the near term highs of 9,130 in the next 1-2 trading sessions,” he mentioned.

A convincing transfer above these ranges might see the Nifty trying to focus on the 9,403 resistance and eight,904 is a vital assist, he added.

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