Sensex tanks 1500 points, Rs 5.5 lakh crore investor wealth gone in minutes
The downward spiral of the market continues after a collapse in global equities amid rising uncertainty over the economic impact of coronavirus outbreak. The Sensex shed 1500 points to reach 38,227 on Friday afternoon, extending the sell-off to the sixth day and wiping out investor wealth of about Rs 5.5 lakh crore in just a day. The broader Nifty breached 11,200 level today.
Market capitalisation (m-cap) of BSE-listed companies saw a massive decline after the 30-share index tumbled three per cent on Friday, on track for its worst week in four years.
Asia’s third largest economy is scheduled to release December quarter growth data later in the day, but analysts said fears from the outbreak were over-riding any possible relief.
Both indexes have shed over six per cent so far this week, on track for their worst week since February 12, 2016, reported news agency Reuters.
Overnight, the Dow registered a record one-day points drop and the S&P 500 confirmed its fastest correction in history, while world share markets were headed for the worst week since the depths of the 2008 financial crisis as the rapid spread of the virus outside China prompted investors to dump risky assets.
Having suffered its weakest expansion in over six years in the September quarter, India’s economy probably fared slightly better in the December quarter, before suffering a relapse due to the impact of the coronavirus globally, analysts said.