Sensex plunges 984 points on slowdown fears
Barring pharma, metals, and IT, most of the key sectoral indices saw selling pressure. Equity indices plunged almost 2% on Friday, ending a four-day rising streak, as traders offloaded banking and financial stocks fearing local lockdowns leading to an economic slowdown.
The S&P BSE Sensex plunged almost 984 points, or 1.98%, to end the session at 48,782 while the Nifty dropped almost 264 points, or 1.77%, to 14,631 amid widespread selling pressure. Sensex plunges 984 points on slowdown fears
Top losers included HDFC, HDFC Bank, ICICI Bank, and Asian Paints. Pharma and sugar stocks bucked the trend.
“Heavy selling in key pivotal, including financials and HDFC twins kept indices in the red throughout the day as fears of localized lockdowns manifesting itself into a slowdown made investors cautious ahead of the state poll outcomes,” said S. Ranganathan, head of research at LKP Securities.
“Despite firm global cues, the benchmark opened gap down and gradually drifted lower as the day progressed. Sensex plunges 984 points on slowdown fears Among the sectoral indices, profit-taking in banking and financial stocks pushed the bulls on the back foot,” said Ajit Mishra, VP, research, Religare Broking Ltd.
He said on Monday early trade markets will first react to Reliance Industries’ earnings and monthly auto sales numbers. “Besides, participants will be eyeing the election results of five States on May 2. Put together, traders should prepare themselves for a volatile start,” he added.