Mumbai: Indian equity indices on Monday (January 27) commenced with a weak start. The Sensex opened down 182.51 points or 0.44% at 41430.68, while the broader Nifty also started 60.90 points down or 0.50% at 12187.40. Major gainers on the indices were ICICI Bank, TCS, and Dr Reddy's Lab, while JSW Steel, Bank of Baroda, HDFC Bank and Yes Bank were among losers.
The Indian rupee also opened lower by 18 paise at 71.51 per dollar on Monday versus Friday's close of 71.33.
Meanwhile, global stocks tumbled today as investors grew increasingly anxious about the economic impact of China`s spreading virus outbreak, with demand spiking for safe-haven assets such as the Japanese yen and Treasury notes.
Japan`s Nikkei average suffered a steep 1.8% loss, on track for the biggest one-day fall in three weeks. US S&P 500 mini futures were last down 0.9%, having fallen 1.3% in early Asian trade.
MSCI`s broadest index of Asia-Pacific shares outside Japan was off 0.2%, although trade in the region has already slowed for the Lunar New Year and other holidays, with financial markets in China, Hong Kong and Australia closed on Monday.
All three major Wall Street indexes closed sharply lower on Friday, with the S&P 500 seeing its biggest one-day percentage drop in over three months.
The S&P 500 lost 0.9%, the Dow Jones Industrial Average fell 0.6% and the Nasdaq Composite shed 0.9% after the Centers for Disease Control and Prevention confirmed a second case of the virus on US soil.
U.S. Treasury prices advanced, pushing down yields further, with the benchmark 10-year notes dropping to a 3-1/2-month trough of 1.627% in early Asian trade.
In the currency market, the concerns about the virus supported the yen, often perceived as a safe haven because of Japan`s net creditor status.
The Japanese currency strengthened as much as 0.5% to 108.73 yen per dollar, its 2-1/2-week high.
The euro last stood at $1.1033 versus the dollar, having fallen to its eight-week low of $1.1019 on Friday.
The offshore yuan dropped more than 0.3% to 6.9625 against the dollar, its weakest level since Jan 8.
The heightened fears of the economic impact of the coronavirus also pressured oil and other commodity prices, except safe-haven gold.
(With Agency inputs)
