Sensex Plunges 1600 Points As Coronavirus Creates Economic Chaos

Benchmark indices plunged in trade, despite the US Federal Reserve cutting interest rates aggressively to near zero, as the coronavirus continue to cause global chaos. Higher infections across Europe, Asia and the US, failed to assuage fear of investors through easing, as they dumped stocks across the globe.

The Sensex was down a whopping 1,600 points, while the Nifty was down 431 points in trade.

All of the Asian markets were trading with significant losses with the Hong Kong's Hang Sang down more than 3 per cent and the Australian S&P AX 200 down near 7 per cent.

Following the Fed decision, U.S. stock futures fell sharply to hit the "limit down" levels of 5% lower, a move made by the CME futures exchange to reduce panic in markets

Leading the losses were metal stocks, with Vedanta plunging almost 7 per cent and Tata Steel falling as much as 6 per cent. Stocks like Hindustan Zinc, fell to a new 52-week low.

Heavyweights, Reliance Industries and HDFC Bank too saw their stocks sliding in trade.

Shares in Yes Bank gained 5 per cent, after a notification that 75% of all shares that a shareholder holds will be locked for 3 years and can't be sold. This won't be applicable for investors holding less than a hundred (100) shares.

Shares in Wonderla dropped to a new 52-week low after the company announced a closure to its amusement park.