New Delhi: The BSE Sensex crashed about 770 points and the NSE Nifty dived over 225 points on Tuesday amid concern over the economic situation in the country, highlighting the fact that the steps announced by the Centre in recent days are not expected to take effect any time soon. The markets opened first time after the GDP data was released for Quarter 1. The sharp fall in the Q1 GDP growth to just 5 per cent pulled down the markets across the sectors resulting in a loss of Rs 2.55 lakh crore of investors’ wealth over panic selloffs. The benchmark indices also saw their biggest intra-day plunge in nearly 11 months.
Blue-chip companies emerged as top losers and in the Sensex pack this included ICICI Bank, Tata Steel, Vedanta, HDFC, IndusInd Bank, Tata Motors, RIL and ONGC — falling up to 4.45 per cent.
All sectoral indices ended in the red, with BSE metal, energy, consumer durables, telecom, bankex, finance, oil and gas, realty and capital goods indices settled 3.23 per cent lower.
The BSE S&P Sensex closed 770 points lower or 2 per cent at 36,563 while the Nifty 50 edged lower by 225 points to 10,797.
While the loss of wealth for investors is massive indeed, there is a lesson in it nevertheless. What experts always say is that every stock market crash should translate into a buying opportunity for discerning investors.
Addressing the concern over the current economic situation, Union Finance Minister Nirmala Sitharaman has already announced a slew of measures. The low consumer demand, especially in rural areas, distress in real estate, low manufacturing activity and stressed auto sectors are key concerns for the policymakers.