Investors lost Rs 7 lakh crore in market wealth after Sensex and Nifty plunged over 6% in early trade today. Market cap on BSE fell to Rs 106 lakh crore compared to Rs 13 lakh crore market capitalisation on Wednesday.
The erosion in investor wealth came after Sensex lost 2,155 points intra day to 26,714 compared to the previous close of 28,869. Similarly, Nifty fell 636 points intra day to 7,832 compared to the previous close of 8,468.
With rising number of coronavirus cases across the world and global markets crumbling gauging the effect of pandemic, Sensex has lost 33% in the last one month. Nifty too has tanked 3,964 points or 32.69% during the period.
Meanwhile, rupee hit a fresh record low of 75 against the dollar, as a flight into cash and worries about tightening liquidity boosted demand for dollar.
"Nothing much has changed. Panic is the overriding emotion right now," said Anand James, chief market strategist at Geojit Financial Services in Kochi.
In early trade, all Sensex stocks were deep in the red. However, the index recovered over 1, 400 points in afternoon trade to 28,000.
Nifty too recovered some lost ground and was trading at 8,243, down 225 points. Nifty has lost 18% in last four days.
Banking stocks led the losses today with BSE bankex tanking 2,267 points intra day to 21,256. Bank Nifty, too, crashed 1,900 points to 18,675 in early trade before recovering to 19,945 in afternoon session.