The stock market was also not untouched by the corona virus. Lower circuit has been installed in the market due to the sharp decline in the country’s markets due to the fear of spreading the virus. The fall continues after the business resumed in the Bombay Stock Exchange. The Sensex plunged 3,185.84 points to 26,730.12 and the National Stock Exchange’s Nifty dipped 923.95 points to 7,821.50 points.
10 lakh crores of investors drowned in an hour
Over Rs 10 lakh crore of investors’ assets was sunk during the first hour of trading in the stock market on Monday. During this period, the market witnessed heavy selling and major indices broke more than 10 percent.
Increased cases of corona virus (Covid-19) have negatively affected market sentiment. This led to a massive sell-off in the equity markets.
The market capitalization of listed companies on BSE declined by Rs 10,29,847.17 crore to Rs 1,05,79,296.12 crore just before the business was halted for 45 minutes.
Lower circuit hit, stop trading for 45 minutes
The major stock index Sensex lost about 3,000 points during early trade on Monday. The Sensex touched the lower circuit limit in the morning session due to the worldwide shutdown to prevent the corona virus epidemic, which caused the business to be closed for 45 minutes.
At present, there is a possibility of heavy recession worldwide. The BSE Sensx opened 2,718 points down in morning trade and then fell 2,991.85 points or 10 percent to 26,924.11.
Similarly, the NSE Nifty fell 842.45 points or 9.63 percent to 7,903. According to the automated system of the stock market, when the market falls 10 percent before one o’clock in the afternoon, trading in the stock markets stops for 45 minutes.
In the morning trade, all constituents of the Sensex were trading in losses. Axis Bank declined by 20 percent. Subsequently, ICICI Bank, IndusInd Bank, Bajaj Finance, Hero MotoCorp and M&M also witnessed sharp selling. According to traders, the announcement of the closure of governments in India and around the world put a lot of pressure on the investor perception.