Carnage continues on D-Street; Nifty hovers at 9900

The market plummeted in morning trade with the Nifty giving up the 10,000 level following a worst rout in world markets, after World Health Organization (WHO) declared coronavirus a pandemic. At 10:29 IST, the barometer index, the S&P BSE Sensex, tanked 1870.02 points or 5.24% at 33,827.38. The Nifty 50 index slumped 563.75 points or 5.39% at 9894.65.

The broader market slumped with S&P BSE Mid-Cap index declining 7.02% and S&P BSE Small-Cap index tanking 7.87%.

The market breadth, indicating the overall health of the market, was weak. On the BSE, 155 shares rose and 1819 shares fell. A total of 61 shares were unchanged. In Nifty 50 index, all 50 stocks declined.

Industrial production and manufacturing production data for January along with Inflation rate for February will be announced today, 12 March 2020

WHO declared COVID-19 a global pandemic on Wednesday (11 March 2020) as the new coronavirus has rapidly spread to more than 121,000 people from Asia to the Middle East, Europe and the United States.

Buzzing Index:

The Nifty Metal index tanked 7.75% to 1,833, extending its losses to sixth consecutive session. The metal index has slumped 21.02% in last six trading sessions from its previous closing high of 2320.75 posted on 3 March 2020.

Prices of industrial metals continued to remain under pressure as countries failed to contain COVID 19 virus which can heighten worries of a slowdown in global economic growth. China is reportedly the largest producer and consumer of industrial metals. Given such a dominant market share any slowdown in the Chinese economy has a major impact on metal prices and global markets.

Tata Metaliks (down 11.29%), Tata Steel (down 10%), Vedanta (down 9.78%), Steel Authority of India (down 9.76%), Jindal Steel & Power (down 8.47%), National Aluminium Company (down 8.43%), Hindalco Industries (down 7.97%), NMDC (down 7.68%), JSW Steel (down 7.29%), Hindustan Zinc (down 7.25%) and Coal India (down 5.23%).

Stocks in Spotlight:

Interglobe Aviation in a regulatory filing issued a notification regarding the impact of Coronavirus on the company. The company said in January and February 2020 it experienced modest impact from the Coronavirus. Subsequently, it cancelled flights to China and Hong Kong and reduced frequency to certain other Southeast Asia markets. This capacity was redeployed in other markets without having a material impact on our revenues However, over the past few days, the company witnessed a 15-20% decline in daily booking. The domestic budget carrier expects quarterly earnings to be materially impacted because of the decline. In addition, the rupee has also depreciated sharply which will have an adverse impact on company's dollar denominated liabilities primarily on account of capitalized operating leases. Shares of Interglobe Aviation were locked in a lower circuit of 10% at Rs 1039.95.

SMS Pharmaceuticals in an exchange filing made after market hours yesterday announced the successful closure of inspection with the receipt of establishment inspection report (EIR) from United States Food and Drug Administration (USFDA) for the inspection conducted at its active pharmaceutical ingredient (API) facility situated at Kandivalasa, Andhra Pradesh during the period 13 to 17 January 2020. Shares of SMS Pharmaceuticals were down 2.91% at Rs 33.40

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