Stock Market Begins New Financial Year In Distress

Representative image - Sakshi Post

Mumbai: The new financial year started on a dismal note for the stock markets as Sensex tanked 1,203 Points and Nifty fell below 8,300 on Wednesday. This is the first such instance in a long time when the markets welcomed the new financial year on a grim note. Incidentally, the markets ended on a high on Tuesday which happened the last day of the previous financial year. This was in line with a global selloff as investors fretted over the impact of prolonged worldwide lockdowns due to the Covid-19 pandemic.

Starting the new financial year on a poor note, the 30-share BSE barometer slumped 1,203.18 points or 4.08 per cent to finish at 28,265.31.

Similarly, the NSE Nifty tanked 343.95 points, or 4 per cent, to close at 8,253.80.

Tech Mahindra was the top loser in the Sensex pack, crashing over 9 per cent, followed by Kotak Bank, Axis Bank, TCS, Infosys and HUL.

On the other hand, Hero MotoCorp, Bajaj Auto, Bajaj Finance and Titan were the gainers.

According to traders, domestic equities plunged in tandem with global stocks as no respite from the coronavirus pandemic seemed in sight.

Extensive lockdowns to contain the spread of the virus have severely hit business outlook, they said.

Around the world, total number of infected cases surged past 8.6 lakh, while deaths have crossed 42,000.

The number of Covid-19 cases climbed to 1,637 in India, while the death toll rose to 38, according to the Health Ministry.

"For the month of April, macro risk appetite driven by news flow around potential peaking of fresh Covid-19 cases would be the key driving force for foreign flows," said S Hariharan, Head - Sales Trading, Emkay Global Financial Services.

On the global front, bourses in Hong Kong, Tokyo, Seoul and Shanghai plunged up to 4 per cent.

Benchmarks in Europe were also trading with significant losses. Brent crude futures, the global oil benchmark, plunged 5.20 per cent to USD 24.98 per barrel. (PTI)

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