Sensex tanks 793 points; Nifty holds 11,550; India VIX up 7%

Sensex tanks 793 points; Nifty holds 11,550; India VIX up 7%

Mumbai, Jul 8: It was bloodbath on D-street on Monday as markets fell for a second consecutive day with the benchmark S&P BSE Sensex and the broader Nifty50 registering their biggest single-day-fall in four years. The Sensex plummeted 908 points intra-day while the Nifty50 shed 288 points.
Union Budget 2019 triggered the fall as it failed to cheers investors. Proposals like surcharge on high income generating groups, increased threshold of minority shareholding from 25 per cent to 35 per cent and no specific announcement to revive consumption dampened investment sentiment. Furthermore, weak global cues and expectation of another muted quarter dragged the markets down. In two days, investors have lost Rs 4.95 trillion market capitalization.
Markets pared losses partially before the end of trading session. The Sensex closed 793 points, or 2 per cent, lower at 38,720 levels with Bajaj Finance, ONGC, NTPC and Hero MotoCorp being the top laggards. The Nifty50, too, settled 252 points, or 2.14 per cent, lower at 11,559 levels.
In the broader market, S&P BSE Mid-Cap ended 293 points, or 2 per cent, lower at 14,432 levels while the BSE Small-Cap dipped 347 points, or 2.46 levels, to settle at 13,794 levels.
Sectorally, public sector banks (PSU banks) took the biggest knock with the Nifty PSU Bank index settling nearly 6 per cent lower. This was follwoed by losses in realty, auto, financial services and metal counters which were down up to 4 per cent. NO index ended in the green. over 5 per cent, while Nifty Bank, Nifty Auto, Nifty Financial Services, and Nifty Realty indexes were all down over 2 per cent.
BUZZING STOCKS
Shares of automobile manufacturers, including auto ancillary companies, were reeling under pressure with the Nifty Auto index hitting 52-week low on Monday after no major direct measure to revive demand growth for the sector was announced in the Union Budget for the financial year 2019-20 (FY20).
Shares of Punjab National Bank (PNB) slipped 10 per cent intra-day to quote at Rs 73 on the BSE on Monday after the state-owned bank reported a fraud of Rs 3,805 crore by Bhushan Power & Steel Ltd (BPSL).
Shares of Jet Airways (India) were locked in 5 per cent lower circuit at Rs 60 for the fourth straight day on the BSE on report that the government has ordered Serious Fraud Investigation Office (SFIO) probe against the grounded airline.