Sensex logs second worst day in four months as China virus fears spread

Rupee widens losses to third day, weakens by 10P to close at 71.43

MUMBAI: Equity benchmark Sensex on Monday clocked its second biggest fall in four months, dragged mainly by financial and metal counters as investor fears grew over fastspreading coronavirus outbreak in China.

At close, the BSE gauge Sensex was 458.07 points, or 1.10 per cent, down at 41,155.12. Intra-day, the index cracked nearly 500 points.

Likewise, the broader NSE Nifty ended 129.25 points, or 1.06 per cent, down at 12,119.

The rupee too weakened by 10 paise to close at 71.43 against the US currency on Monday, extending losses for a third straight session.

On the Sensex chart, Tata Steel was the top loser, dropping 4.31 per cent, followed by Indusind Bank, HDFC Bank, SBI, Powergrid and HDFC.

Of the Sensex constituents, 21 ended in the red and 9 in the green.

In contrast, M&M, Ultratech Cement, Tech Mahindra, ICICI Bank and Axis Bank rose up to 1.63 per cent.

Sectorally, BSE metal index crashed 3.25 per cent, followed by telecom, power, finance, bankex and FMCG indices.

On the other hand, healthcare index emerged as the sole gainer.

Broader BSE midcap slipped 0.40 per cent, while smallcap index closed marginally higher.

Global crude oil benchmark Brent crude futures dropped 3.24 per cent to $57.95 per barrel.

Sending shockwaves across the globe, the deadly coronavirus virus, which causes pneumonia-like illness, has already killed 80 people and infected more than 2,700 others in China.

Financial markets across the world are increasingly turning volatile on concerns over the global economic impact of the virus, analysts said.

Many financial markets were closed in Asia for Lunar New Year holidays.

Japan's Nikkei sank over 2 per cent. Stock exchanges in Europe too opened significantly lower.