SVB Impact On Stock Market: Sensex Crashes 897 Points, Nifty Sinks Below 17,200. All Sectors In The Red

Stock update: On the 30-share Sensex platform, barring TechM, the rest 29 scrips ended in the red. TechM was the sole winner, up 6.83 per cent

In the broader markets, the BSE Midcap index shed 1.8 per cent and Smallcap index fell 2 per cent.

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The two key equity benchmarks, Sensex and Nifty, on Monday plunged to hit a fresh lows amid broad-based sell-off. The SVB crisis saw banking shares take a knock, while other sectoral indices also succumbed to the selling pressure. The two domestic indices rallied taking cues from US stock futures in the earlier part of the day.

The BSE Sensex ended at 58,237, down 897 points. On the other hand, the NSE Nifty closed trade at 17,154, down 259 points.

On the 30-share Sensex platform, barring TechM, the rest 29 scrips ended in the red. TechM was the sole winner, up 6.83 per cent.

Among specific stocks, IndusInd Bank was the top loser down over 7 per cent after the RBI approved the re-appointment of Sumant Kathpalia as the MD & CEO for a period of two years as against the board's approval for 3 years.

SBI down over 3 per cent was the other major loser. Tata Motors, Mahindra & Mahindra, Bajaj Finserv, Axis Bank and Infosys were the other major losers, down 2 – 3 per cent each. Reliance Industries was down 1.7 per cent, the stock hit a fresh 52-week low on Monday.

In the broader market, the BSE Smallcap gauge dipped 2.08 per cent and the Midcap index declined 1.82 per cent.

All the sectoral indices ended in the red.

In the previous session on Friday, the S&P BSE Sensex tanked 671 points (1.12 per cent) to close at 59,135. On the other hand, the Nifty50 gave up the 17,450-mark to end at 17,413, falling 177 points (1 per cent).

The US-based SVB Financials, which mainly funds startups, crashed 60 per cent in the US market last week, triggering concerns over the health of banks' bond portfolios and its possible rippling effects globally. "...jitters over the largest US bank failure since the 2008 financial crisis, driving investors to the safe-haven asset," Navneet Damani, senior VP of Commodity Research at Motilal Oswal Financial Services, said.

In Asian markets, Shanghai, Hong Kong, and Seoul ended in the green, while Tokyo settled lower. European equity markets were trading with significant losses in the afternoon trade.

International oil benchmark Brent crude declined 1.79 per cent to $81.30 per barrel.

Foreign portfolio investors (FPIs) offloaded shares worth Rs 2,061.47 crore on Friday, according to exchange data.

Meanwhile, the rupee pared its initial gains to settle 10 paise down at 82.16 (provisional) against the US dollar on Monday, tracking the weak sentiment in the domestic equity market and unabated foreign fund outflow.

Traders said fall in crude oil price and weaker dollar against major currencies, however, restricted the fall of the Indian currency.

At the interbank foreign exchange market, the local unit opened stronger at 81.78 against the American currency and touched a low of 82.20 during intra-day. It settled at 82.16 (provisional) against the greenback, registering a loss of 10 paise over its previous close of 82.06. The dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.37 per cent to 104.19.