Indian equity benchmarks on Thursday fell by over 2% as Sensex slid back below the 40,000 mark. With this, the markets have snapped their best run of 10 consecutive days of gain in over 13 years.
The markets opened lower and the losses bulged in the afternoon as Western markets started opening up. At the time of filing this copy, Sensex was trading at 39,812.97, down 982 points (2.4%).
Similarly, the broader Index Nifty 50 was down 271 points (2.3%) at 11,700.
The market is tanking due to a mix of global domestic cues. On the global front, both equity and commodity markets have been negative since yesterday, as investors lost hopes after Treasury Secretary dampened expectations of reaching a US fiscal stimulus before the presidential election in November. On the domestic front, Moody's has called India's fiscal position very weak, adding to the selloff. Also, markets are witnessing profit booking in some of the heavyweight companies, leading to a crash in indices.
The uncertainty surrounding the vaccine trials have also added to the market worries.
With 3.23% loss in Nifty IT Index, the tech stocks are the worst hit in today's crash.
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