Sensex, Nifty skid over 3% each; 4 factors are considered behind the fall. The measures announced by the government are long-term positives, there is no immediate trigger for the market to move upward, say experts and market analysts.
Indian shares suffered big losses on May 18, with the Sensex falling over 1,000 points and the Nifty touching 8,806 on the downside.
With this, the Indian market extended losses into the third consecutive day.
Sensex finished 1,028 points, or 3.31 percent, down at 30,069.93, while Nifty settled at 8,823.25, slipping 314 points, or 3.43 percent.
Among the sectoral indices, BSE Finance and BSE Bankex fell 6.39 percent and 6.33 percent, respectively.
“Markets were hoping for big-bang government stimulus measures to boost demand and the eventual peaking of virus infections. Both of these have not happened. Stimulus measures have not enthused markets, while lockdown had been extended again due to rising infections. This, in addition to the insolvency procedures announced by the FM yesterday, could lead to an increase in NPAs for banks, which are the worst affected today,” said Sony Mathews, Senior Market Strategist at Geojit Financial Services, on May 18.
Here are the top 4 factors roiling the market.