Sensex Falls 650 Points, Nifty Below 10,950 Amid Selloff Across Sectors
Infosys, Reliance Industries, TCS and ICICI Bank were the biggest drags on Sensex
Here are 10 things to know:
At 10:38 am, the Sensex traded 632.84 points - or 1.68 per cent - lower at 37,035.58, while the Nifty was down 185.80 points - or 1.67 per cent - at 10,946.05.
In the Nifty basket of 50 shares, Tata Motors, Bajaj Finance, IndusInd Bank, Mahindra & Mahindra, Hindalco and Tata Steel, trading between 3.61 per cent and 4.87 per cent lower, were the worst hit among the 48 laggards.
Infosys, Reliance Industries, Tata Consultancy Services and ICICI Bank were the biggest drags on Sensex.
TCS shares fell more than 2 per cent, extending losses to a second straight day, after Shapoorji Pallonji group, the largest minority shareholder in Tata Group, said on Tuesday it wanted to separate interests from the autos-to-steel conglomerate.
Oil and Natural Gas Corp (ONGC) shares fell more than 2 per cent after a fire broke out at its Hazira gas processing plant in Gujarat on Thursday morning, which was later brought under control.
Concerns about a delayed recovery from the damage caused by the coronavirus pandemic shook investors, according to analysts.
Equities in other Asian markets fell following a slump on Wall Street overnight, with MSCI's broadest index of Asia Pacific shares outside Japan last seen trading 2.01 per cent lower. Japan's Nikkei 225 benchmark was down 1.12 per cent.
The E-Mini S&P 500 futures traded 0.54 per cent lower, indicating a negative start for Wall Street on Thursday, a day after the US benchmark index tumbled 2.37 per cent after data showing cooling US business activity and the stalemate in Congress over more fiscal stimulus heightened concerns about recovery in the world's largest economy.
Federal Reserve Vice Chair Richard Clarida said on Wednesday that the US economy remains in a "deep hole" of joblessness and weak demand, and called for more fiscal stimulus, noting that policymakers "are not even going to begin thinking" about raising interest rates until inflation hits 2 per cent.
Cleveland Federal Reserve Bank President Loretta Mester echoed similar views, saying that the US remains in a "deep hole, regardless of the comeback we've seen".