New Delhi: Amid a massive selloff in global equities owing to the deadly coronavirus epidemic which spread rapidly around the world, market benchmark Sensex plummeted over 1,150 points, wiping off over Rs 5 lakh crore investor wealth, in opening session on Friday. Also Read - Sensex Tanks 807 Points Amidst Massive Sell-offs as Coronavirus Alarm Spreads
At 9:50 AM, the BSE Sensex was trading at 38,597.53, lower by 1,148.13 points or 2.89 per cent from the previous close of 39,745.66. It had opened at the intra-day high of 39,087.47 and has so far touched a low of 38,587.51 points. The Nifty 50 on the National Stock Exchange was trading at 11,297.45, lower by 335.85 points or 2.89 per cent from its previous close. In the previous session, the Sensex settled 143.30 points, or 0.36 per cent, lower at 39,745.66, and the Nifty fell 45.20 points or 0.39 per cent to end at 11,633.30. Also Read - Sensex Snaps 4-session Slide, Soars 429 Points; Nifty Shoots up 133.40 Points
All Sensex components were trading in the red, led by losses in Tata Steel, Tech Mahindra, Infosys, Mahindra and Mahindra, Bajaj Finance, HCL Tech and Reliance Industries. Also Read - Sensex, Nifty Log Best Day in Over 4 Months Tracking Global Peers
According to analysts, till last week the market was of the view that coronavirus was going to have minimum impact on global economy as situation in China was being contained. But the increase in the number of new cases is changing the view and investors are worried about an intense slowdown. Further, incessant selling by foreign investors is also spooking domestic market participants, news agency PTI quoted traders as stating.
On a net basis, foreign institutional investors sold equities worth Rs 3,127.36 crore on Thursday, data available with stock exchanges showed. Stock exchanges in Shanghai, Hong Kong, Seoul and Tokyo plunged up to 4 per cent in their morning sessions.
On Wall Street, the Dow Jones Industrial Average dropped 1,190.95 points, its largest one-day point drop in history, bringing its loss for the week to 3,225.77 points, or 11.1 per cent. The S&P 500 has now plunged 12 per cent from the all-time high it set just a week ago.
(With agency inputs)