Sensex sheds by over 500 points; Bank Nifty down by four per cent

Domestic benchmark indices ended the trading session on a negative note on Monday as Sensex slipped by 552.09 points or 1.63 per cent to a level of 33,228.80 while Nifty fell by 159.20 points or 1.60 per cent to settle at 9,813.70.

As a result of weak global indices, investor sentiments in domestic markets reflected a lack of confidence. Globally, a fear over the second wave of COVID-19 has risen after Beijing reported an increase in number of new COVID-19 infections. China has subsequently implemented a lockdown in Beijing areas after identifying new coronavirus clusters. As the fears continue to intensify, heavy losses were experienced by other Asian indices such as Shanghai, Hang Seng and KOSPI tumbling by 1.02 per cent, 2.16 per cent and 4.76 per cent respectively. Nikkei index of Japan declined by 3.47 per cent as investors await the decision of Bank of Jap regarding interest rates. European indices also opened on a weaker note as FTSE 100, CAC 40 and DAX were seen trading lower by 0.86 per cent, 0.83 per cent and 0.95 per cent respectively.

Gold prices on Monday fell as the dollar hovered around a more than one-week high though the fall in gold prices witnessed a resistance from concerns over the rising COVID-19 infections.

Although Sensex was in red today, RIL gained by 1.65 per cent as the company's partly paid up rights issue nearly doubles investors' money on listing day. Other Sensex gainers comprised HCL Technologies gaining by 1.28 per cent, Sun Pharmaceuticals up by 1.18 per cent and ONGC increasing by 0.18 per cent.

Sensex draggers were made up of banking and financial stocks as IndusInd Bank led the way tanking by 7.27 per cent; Axis Bank fell by 4.55 per cent; Bajaj Finance decreased by 4.03 per cent; ICICI Bank declined by 3.88 per cent; NTPC dipped by 3.87 per cent; Tata Steel dropped by 3.61 per cent; ITC fell by 3.51 per cent, etc.

Amongst BSE sectoral indices, Healthcare was the only gainer, up by 0.26 per cent. The biggest sectoral loser was Bankex declining by 3.53 per cent, followed by Realty index down by 3.04 per cent and Finance index down by 2.85 per cent. BSE mid-cap index fell by 1.15 per cent while BSE small-cap closed flat.