Sensex sinks by over 1,400 points as new coronavirus strain dampens sentiment

Equity benchmark indices witnessed a devastating downturn on Monday after global markets traded with sharp cuts as a fast-spreading new coronavirus strain dampened investor sentiment.

At the closing bell, the BSE S&P Sensex was down by 1,407 points or 3 per cent at 45,554 while the Nifty 50 tumbled by 432 points or 3.14 per cent to 13,328.

All sectoral indices at the National Stock Exchange were in the red with Nifty PSU bank dipping by 6.9 per cent, private bank by 4.12 per cent, metal by 5.5 per cent, realty by 5.2 per cent and pharma by 3.8 per cent.

Aviation stocks were under pressure over the UK border closure with SpiceJet falling by 9.9 per cent to Rs 91.45 per share while InterGlobe Aviation cracked by 8.7 per cent to Rs 1,507.10.

Energy majors too tumbled as global oil prices dropped by about 3 per cent as a fast-spreading new coronavirus strain shut down much of the United Kingdom amid tighter restrictions in Europe.

ONGC fell by 9.4 per cent to Rs 89.65 per share while GAIL dipped by 8.4 per cent. IndianOil Corporation and Bharat Petroleum Corporation retreated by 7.4 per cent and 7.2 per cent respectively.

The other prominent losers were NTPC, Reliance Industries, Mahindra & Mahindra, Hindalco, IndusInd Bank and State Bank of India.

Meanwhile, European shares fell by 2 per cent market volatility surged amid growing unease over the economic impact of a new coronavirus strain in the United Kingdom which has seen several European countries shut their borders.

Prime Minister Boris Johnson was scheduled to chair an emergency response meeting to discuss international travel and the flow of freight in and out of the country.

Earlier, Asian shares outside Japan dipped by 0.2 per cent after hitting a string of record peaks last week. Japan's Nikkei shed 0.4 per cent, off its highest since April 1991.

 

( With inputs from ANI )