Investors poorer by ₹4.48L Cr as markets plummet due to new COVID variant

The wealth of investors eroded by ₹ 4.48 lakh crore during day trade on Friday as the BSE benchmark slipped by 1,488 points tracking weak global trends, soon after the news of a new COVID-19 variant broke out.

The 30-share benchmark index tumbled 1,488.01 points during the day to 57,307.08. The market capitalization of BSE-listed dropped ₹4,48,223.31 crore to ₹2,61,18,730.57 crore during the day.

“Equity markets have plunged almost 2 per cent amid the emergence of a new, highly mutated COVID-19 variant. The EU announced a temporary ban of flights from South Africa and few EU countries are already under full lockdown scenario. Thus, there is fear of this new variant spreading to other countries which might again derail the global economy,” said Hemang Jani, head of Equity Strategy and Senior Group VP, Broking & Distribution, Motilal Oswal Financial Services.

Also read: Centre issues alert on South African COVID variant, rigorous screening on

Autos, banks and energy stocks were the worst hit in early trading in the Indian market, with the sub-indexes down between 1.5 per cent and 1.7 per cent.
Tata Steel, HDFC, IndusInd Bank and Maruti were the biggest laggards, tanking up to 4.2 per cent.
The BSE midcap and smallcap indices were trading up to 2 per cent lower.

(With inputs from agencies)