Sensex Slips Over 250 Points, Nifty Trades Below 17,100; Bank, Financial Stocks Drag

The Indian equity benchmarks plunged after opening higher on Monday, dragged by banking and financial stocks. Asian shares slid as coronavirus lockdown in Shanghai looked set to hit global activity.

The spread of restrictions in China — the world’s biggest oil importer — saw Brent skid $3.26 to $117.39, while U.S. crude fell $3.37 to $110.53. The ongoing Russia-Ukraine conflict also kept investors on edge.

Back home, the 30-share BSE Sensex fell 253 points or 0.44 per cent to 57,109 in early trade, while the broader NSE Nifty moved 69 points or 0.40 per cent down to 17,084.

Mid- and small-cap shares were trading on a mixed note as Nifty Midcap 100 edged 0.03 up and small-cap shares shed 0.31 per cent.

Nine out of the 15 sector gauges — compiled by the National Stock Exchange — were trading in the red. Nifty Financial Services and Nifty Bank were underperforming the index by falling as much as 1.12 per cent and 0.94 per cent, respectively.

On the stock-specific front, HDFC Bank was the top Nifty loser as the stock cracked 1.84 per cent to ₹ 1,404.55. Kotak Mahindra Bank, HDFC, HDFC Life and UPL were also among the laggards.

However, the overall market breadth stood weak as 1,103 shares were advancing while 1,738 were declining on BSE.

On the 30-share BSE index, HDFC twins (HDFC and HDFC Bank), Kotak Bank, Bajaj Finance, Dr Reddy’s, SBI and Bajaj Finserv were among the top losers.

In contrast, Maruti, PowerGrid, SUn Pharma, ITC, Tata Steel and Sun Pharma were trading in the green.

Also, shares of multiplex firms PVR and INOX Leisure surged after announcing a merger.

Sensex had slipped 233 points or 0.41 per cent to close at 57,362 on Friday, while Nifty had moved 70 points or 0.40 per cent lower to settle at 17,153.