Sensex crashes 2,919 points as Corona contagion triggers global rout; investors lose Rs 11 lakh cr

Indian equity benchmarks suffered ir biggest ever one-day plunge to crash into bear territory on Thursday as coronavirus pandemic left a trail of red across global financial markets. After sediving over 3,204.30 points on across--board selling, 30-share BSE Sensex closed 2,919.26 points or 8.18 percent lower at 32,778.14.

Likewise, broader NSE Nifty gave up 9,600 level, slumping 868.25 points or 8.30 percent to close at 9,590.15. This was biggest drop for benchmarks in absolute terms, eclipsing ir previous record one-day fall on Monday (March 9). markets have w entered bear territory -- that is more than 20 percent down from a recent high. Sensex and Nifty, which had hit ir lifetime closing highs on January 14 this year, closed at more than 2-1/2-year lows on Thursday.

carn on Dalal Street eroded investor wealth worth Rs 11,27,160.65 crore, taking total market capitalization (m-cap) to Rs 1,25,86,398.07 crore on BSE. Global markets reeled after World Health Organization (WHO) declared coronavirus outbreak as a pandemic, and expressed deep concern over "alarming levels of inaction".

US President Donald Trump suspended all travel from Europe, excluding UK, to US for next 30 days. Countries across world are imposing travel restrictions, fuelling fears of a global recession, analysts said. All Sensex components ended in red. SBI was top loser, crashing 13.23 percent, followed by ONGC, Axis Bank, ITC, TCS and Titan.

"Global stocks including India plunged into a bear market and oil slumped on Thursday after US President Donald Trump banned travel from Europe to stem coronavirus, threatening more disruption to world ecomy.

"Recession risk is rising and markets do t seem to be pricing that in fully. January was third month in a row that three-month measure of UK GDP showed zero growth, weakest such run since middle of 2009. In Q1 CY20, on an annualised basis, global growth could be deeply negative - more like (minus) 1 percent," said Deepak Jasani - Head Retail Research, HDFC Securities.

All sectoral indices ended in red, with BSE oil and gas cracking 9.82 percent, followed by realty, metal, bankex, finance, energy and IT. Broader BSE midcap and smallcap indices followed benchmarks, losing up to 8.72 percent.

A massive plunge in international oil prices and depreciating rupee added to volatility, traders said. rupee depreciated 49 paise to 74.17 per US dollar (intra-day). Brent crude oil futures dropped 5.50 percent to USD 33.82 per barrel. Elsewhere in Asia, bourses in Shanghai dropped 1.52 percent, Hong Kong 3.66 percent, Seoul 3.87 percent and Tokyo cracked 4.41 percent.

Markets in Europe crashed up to 6 percent in early trade. In overnight trade, Dow fell into a bear market and futures pointed Thursday to ar rout in New York and Europe.

number of coronavirus patients in India has risen to 73 with 13 fresh cases, including nine from Maharashtra and one each from Delhi, Ladakh, and Uttar Pradesh as well as one foreign national, Union Health Ministry said. Covid-19 has claimed over 4,200 lives and infected more than 117,330 people across 107 countries and territories.