Coronavirus affect: Share market trading resumed after 45-minutes of halt
After creating havoc globally, Coronavirus is taking a deadly turn in India and even has the Sensex in its grip. On Friday, the trading was halted for about 45 minutes as the Nifty50 index hit a 10% lower circuit. This is for the first time that trading was halted since 2008 when there was a period of global economic recession and India was also affected drastically.
Global investors, on the other hand, feared a global recession and knocked 10% off US stocks overnight – the worst since October 19, 1987, or the infamous Black Monday. However, after trading resumed at around 10.20 am on Friday, the market staged some recovery.
Indices that crashed in opening trade were led by major volatility in global markets that continued to panic due to the Coronavirus scare. Before the halt, the index was down over 1,000 points, or 11%, at 8,530 levels. Sensex slashed over 3,090 points to 29,687 in the opening session of Friday and Nifty has fallen to 966 points to 8,624. In the opening session, Indian Rupee slipped 16 paise to 74.44 against the US dollar.
On resuming the trade, oil prices too extended losses with crude benchmark trading at $30.99 per barrel (down 0.51%). Among Sensex stocks, HCL Tech plunged 15.60% to Rs 416. Tech Mahindra plummeted 15% to Rs 552.35. Kotak Mahindra Bank, TCS, and IndusInd Bank declined 14-15%. Axis Bank, NTPC and Maruti Suzuki fell 13-15%.
The market experts said that in case any circuit is triggered before 1 pm, the trading could be halted once again till 1.45 pm and any post 2 pm circuit will mean, the trading will be shut for the day.