The broad-based sell-off in the markets fell more than 1.7% due to a statement by the Union Health Ministry on the novel ‘coronavirus’ surfacing of the ‘double-mutant variant’ and fears of fresh sanctions and an economic slowdown with benchmark share indices.
The S&P BSE Sensex ended the day at 49,180, down 871 points or 1.74%. 28 out of 30 members of the SENSEX ended up in Red. The selling was led by banking, metals, auto, financial services and IT stocks.
The NSE Nifty 50 index also gained 265 points or 1.79% to close at 14,549.
Ajit Mishra, VP, Research, Religare Broking Ltd, said Beers took over due to weak global signals combined with the news of a new mutant strain in India of the virus.
Mid-cap and small-cap ended with losses of 1.7% and 1.6% respectively.
Mr. Mishra said that there are indications that the volatility will be higher due to the expiry of the March contracts. “We reiterate our cautious approach so far and suggest retaining positions on both sides,” he said.
“In Wednesday’s correction, there was a sell-off across the board and hence no further correction can be made on the expiry day,” said Angel Broking principal analyst-technical and Samit Chavan.
“We continue to be vigilant and advise against making aggressive bets in the market for a while.”
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