Sensex down by 3150 points, Nifty below 7900 mark
New Delhi : Amid coronavirus outbreak, major companies suspended their work across the nation; following this Sensex tanked on Monday morning massively.
At 11:15 am, the Sensex was down by 3150 points while NIFTY was trading below 7900 mark.
Uncertainty is likely to remain for next couple of weeks depending upon how long it will take to contain the virus spread.
Also, the growth of markets will largely depend on how the companies will cope up with the financial losses they are facing right now.
On the real economy side, recently released data from China offers a glimpse into the impact of the unfolding consumption shock. The official data suggests a sharp contraction relative to last year in retail sales (minus 20.5 per cent), industrial production (minus 13.5 per cent), fixed asset investment (minus 24.5 per cent) and job losses (5 million) in January and February.
Outside Asia, evidence of costs to the real economy is becoming evident in Italy, France, Germany, Spain, Britain and the United States.
"As business grinds to a halt, big and small firms are starting to lay off workers temporarily in an attempt to cut costs," said Moody's.