Stock Market Red Again: The rising corona cases are once again showing a big impact on the stock market. Sensex and Nifty index are down about 2.8% in trading as of 9.45 am after opening in the red mark in the morning. The BSE Sensex has fallen nearly 1400 points to reach below 47,500. At the same time, the Nifty is also down around 14,250, weakening by about 400 points.
On Monday, the market had seen a big fall and the Sensex had broken about 1700. However, after this, the market closed in a green mark in the entire session of the week.
The biggest decline in these stocks
IndusInd Bank, ICICI Bank, Axis Bank and SBI have a weakness of more than 5% in the Nifty. Apart from this, shares of Adani Ports, Bajaj Finance, Bajaj Bajaj Auto, HDFC, Kotak Mahindra Bank, Tata Motors and ONGC are trading down over 4%.
Pharma shares like Dr. Reddy, Sun Pharma, Divis Labs, etc. are in green mark with slight uptrend.
28 out of 30 stocks of SENSEX pack are in red mark. Similarly, only 4 stocks out of 50 of the Nifty are up.
What is the status of which sector?
Apart from pharma, there is a big decline in the stocks of all sectors. The Nifty Bank, Realty and Financial Services indices have weaknesses of more than 4%. At the same time, the decline in energy and metal sectors is close to 2.5%. The auto index is trading at 3.5% while the IT and FMCG sector is down about 1.25%. The boom in the pharma sector is at 0.36%.
There is also a big drop in the Nifty Midcap 100 and Smallcap 100 indices. Both indices are in the red mark, falling 3%.
What is the reason for the weakness in the market?
Every day Corona’s record cases are increasing the concern of investors. According to the data of Monday 19 April, for the first time in the country, close to 2 lakh 73 thousand cases were reported in 24 hours. The rapid increase in the death toll is also expected to increase the restrictions further. This can have a major impact on business and all kinds of economic activities.
By the mixed signals of foreign markets, Byers is getting some help in the market. Investors are also being cautious before the fourth quarter results. There is not much enthusiasm in the market from foreign institutional investors and domestic institutional investors.