S&P BSE Sensex canceled most of the profits made in the previous trading session to close below 50,000 while Nifty50 closed below the 50-Days Moving Average (DMA) on April 5 am concerned about rising COVID charges and paid locks.
Indian markets faced outrage on Monday after the Maharashtra government on April 4 announced new restrictions under its ‘Break the Chain’ campaign to curb the spread of new coronavirus infections.
The announcement came after a formal state cabinet meeting. Maharashtra yesterday reported more than 57,000 new COVID-19 cases in the past 24 hours. On April 5, India reported 1.03 new cases of COVID-19 – a new high record.
Let’s take a look at the last figure on D-Street – the S&P BSE Sensex jumped 870 points to 49,159 while the Nifty50 closed with a loss of 229 points at 14,637.
In terms of industry, pressure trading has become more realistic, in banks, finance, automotive, in the public sector, and in consumer-preferred stocks while other purchases are reflected in IT, metal and telecom stocks.
The dramatic increase in cases of COVID-19 has created investors’ concerns and raised fears of severe restrictions that could affect economic activity, ”Ajit Mishra, VP – Research, Religare Broking told Moneycontrol.
“Going forward, government measures to curb this growth could be one of the most important issues we need to address. In addition, the forthcoming RBI monetary policy will be actively pursued by investors. We expect the RBI to maintain its critical status and leave significant values unchanged, ”he said.