Following the collapse of two banks within a matter of days in the US, Sensex was dragged down by 751 points before closing at 58,383 points, while Nifty also fell by 250 points to end the day below 17,200. Indian indices were held back by IndusInd, SBI and PNB among other lenders, while auto and media stocks were also among worst performers.|
Sliding into red after a good start
Indian markets lost steam after opening in the green, and while inflation is expected to have gone down, it will remain above the RBI's tolerance level of 6 per cent. Sensex had already gone down by more than 600 points on Friday to end the past week, after the Silicon Valley Bank collapsed. Today the subsequent fall of New York-based Signature Bank has dealth another blow to the markets, and especially banking as well as tech stocks.
Japan and Europe suffer, but China in green
With all sectors in red, banks were collectively down 2.5 per cent, and only Tech Mahindra managed to rise by 6.5 per cent, after the appointment of its new CEO Mohit Joshi. Although Japan's Nikkei also fell by more than 1 per cent amid weak global cues, markets in China and Hong Kong were in the green, as the head of the country's central bank and finance minister held on to their jobs.
European banks also opened in the red, although the US Federal Reserve moved forward to stabilise the banking sector.
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