With today's sharp fall in the markets of near 3 per cent, the Sensex has now lost a whopping 6.6 per cent in six trade sessions and is seeing its worst fall in years.
The Sensex, which ended the day at 41,170 points on Feb 20, is now trading at 38,652 points. About Rs 10 lakh crores were destroyed in the last 6 trading days.
Interestingly, this time some bluechips like HDFC Bank and HDFC have also been seeing some heavy selling pressure. The fall in the markets has largely been on account of the sharp rise in infections of Coronavirus, leading to fears that trade could get impacted.
New infections in many countries, particularly the developed nations is what is worrying stock markets across the globe. However, the real impact on companies and the economy would need to be assessed at a later stage.
Indian markets have fallen less in comparison to other global markets. For example, the US Dow Jones Industrial Average has fallen a staggering 10 per cent from peak levels.
The Nifty too in line with the Sensex has now fallen by almost 1,000 points and there are worries that it might dip below that 11,000 points mark next week.
All in all, the trend at the moment looks exceedingly bearish and any hopes of even a short covering rally, look far-fetched at the moment.