Domestic markets stabilise after worst single-day slump in about 5 years

The domestic markets stabilised on Wednesday after logging their worst single-day fall in five years on Monday. The Sensex ended 62 points higher at 35,697, while the Nifty ended little changed at 10,458. 

The rupee strengthened 0.6 per cent to 73.6 against the dollar, while the yield on the 10-year government security rose 6 basis points. Most Asian markets ended with losses, while European markets traded positive during the Indian market hours. However, there was no pause in selling by overseas investors. 

 

 

On Wednesday, they sold shares worth Rs 3,515 ($478 million). In the previous 12 trading sessions, they have pulled out Rs 33,000 crore ($4.5 billion) from domestic equities. 

Market players said the economic impact of the coronavirus spread and global oil price war continued to be an overhang for the market. However, the slump in the oil prices and valuations turning favourable are the silver lining for investors, they said.