S&P BSE Sensex was trading 313 points or 0.76 per cent lower at 40,742 points while the broader Nifty 50 index was ruling below the crucial 12,000-mark, at 11,941, down 105 points or 0.88 per cent
Domestic equity market benchmarks Sensex and Nifty continued their weak trend and were trading lower tracking their week Asian peers. Tech giant Apple Inc on Monday had flagged lower revenue as a result of the epidemic, saying it would not meet its revenue guidance for the March quarter. S&P BSE Sensex was trading 313 points or 0.76 per cent lower at 40,742 points while the broader Nifty 50 index was ruling below the crucial 12,000-mark, at 11,941, down 105 points or 0.88 per cent. “Domestic growth concerns seem to be back in the market as indicated by a recent downgrade by Moody’s. Banks having significant exposure in Telecom players continue to be in the limelight as lack of funds could delay the payments and degrade the quality of banks balance sheet,” Vinod Nair, Head of Research at Geojit Financial Services said.
“Continuous rise in corona cases has forced major Asian peers to downgrade their growth outlook which could cause a ripple effect in other nations in the first quarter while recovery is expected from the second,” Vinod Nair said.
26 out of 30 stocks in red- At index level, as many as 26 stocks out of 30 Sensex stocks were trading in red with IndusInd Bank as the top loser. IndusInd Bank shares were down 4.11 per cent, followed by Tata Steel, NTPC, Maruti and Hero MotoCorp.
Nifty Media index was the only gainer- Barring Nifty Media index, all the sectoral indices were trading lower. The Nifty FMCG index dropped over 1 per cent weighed by Emami, Colgate-Palmolive and Godrej Consumer Products. On the flip side, Nifty Media index was trading higher led by gains in TV18 Broadcast, Balaji Telefilms, Network18 and ZEEL. Mukesh Ambani’s owned RIL announced a consolidation of its media and distribution businesses spread across multiple entities into Network18.
Apple revenue will be hit amid coronavirus scare- iPhone maker on Monday said it was unlikely to meet a sales target set just three weeks ago amid lost production and weakening demand in China, which supplied 18% of the company’s revenue in the year-ago quarter, after the outbreak, as per Reuters news report.
Asian stocks fall- Asian shares fell after Apple Inc said it will not meet its revenue guidance for the March quarter. MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.65 per cent while Tokyo’s Nikkei slid 1 per cent. Shanghai shares dipped 0.2 per cent.
Oil prices slip as coronavirus concerns linger- Oil prices slipped on Tuesday on lingering concerns over the economic impact of the coronavirus outbreak in China and its effect on oil demand, tracking losses in financial markets. Brent crude was at $57.30 a barrel, down 37 cents, or 0.6%, while U.S. West Texas Intermediate crude fell 15 cents, or 0.3%, to $51.90 a barrel, as per the Reuters.