Benchmark indices crashed in trade after a press conference in which the Director General of the Military Offfice (DGMO) said that said the Indian Army conducted surgical strike last night.
"Indian Army conducted surgical strikes on terror launch pads on the LoC, significant casualties have been caused," DGMO Lt Gen Ranbir Singh said in a press conference today.
Banking stocks were the biggest losers in trade with ICICI Bank losing 4 per cent, while Axis Bank also dropped 4 per cent.Metal stocks also took big hits with Hindalco and Vedanta among the other losers.
All of the Nifty stocks were trading in the red, though TCS was the only stock that managed to show some modest gains. Shares in life insurance service provider, ICICI Prudential, which got listed today, dropped 10 per cent over the IPO price of Rs 297.
The biggest story was in the midcap space, where several stocks were seeing cuts in excess of 6 to 7 per cent.
Adani Enterprises, Union Bank of India, Reliance Infra and Bank of India were all down more than 6 per cent in trade. Volatility was also largely on account of the fact that today was the last day for the F&O expiry of the Sept series.
Small caps take an even bigger knock
Small cap stocks took an even bigger knock, with stocks like Signet and Bharatiya International, hitting the lower end of the circuit filter.
The small cap and the midcap index has outperformed the benchmark indices in the last few months.