Closely monitoring volatility in stock markets, says FM Nirmala Sitharaman
Union finance minister Nirmala Sitharamanon said on Tuesday the government is closely monitoring volatility in stock markets as she announced a slew of measures for the economy to tackle the impact of Covid-19.
“The regulators, Reserve Bank and the finance ministry are all working together to keep monitoring the developments and volatility in the stock market. SEBI (Securities and Exchange Board of India) has come up with some set of guidelines and also stated its position,” Nirmala Sitharaman said during a press conference.
“We are in contact in the morning, afternoon and evening regarding the market,” she said.
“Every attention is being given to the economy. Prime Minister is monitoring situation himself,” she added.
However, the Union finance minister’s announcements failed to cheer domestic markets.
The Sensex gave up its gains and lost about 700 points and was trading 529.28 points or 2.04% higher at 26,510.52 as the Union finance minister announced various relaxation measures for the economy.
The broader Nifty also lost about 200 points and was trading 142.15 points or 1.87% up at 7,752.40.
Indian stocks had suffered their worst single-day rout in history on Monday and the rupee plunged to a new all-time low as several states across the country imposed lockdowns and restrictions to curb the spread of the virus, shutting down businesses and disrupting daily life.
The government’s lockdown came as one of the measures to check the spread of the coronavirus disease after nearly 500 people were infected with Sars-Cov-2 and nine killed across India so far.