The BSE large-cap index was down 1.7 percent last week. The BSE small-cap index shed 2.7 percent and the mid-cap index fell 2.5 percent in the past week.
Indian benchmark indices remained under pressure for the week that ended on March 6, as the novel coronavirus spread its wings globally. More cases were also reported in India during the week.
The market witnessed volatility for the first four days of the week, amid rising fears of the novel coronavirus. The weak auto sales data and Yes Bank fiasco has further dented investors’ sentiments.
"We continue to maintain our cautious view on Indian markets and expect volatility to remain high in the near term. The updates on spread of Coronavirus cases would be the single biggest factor dictating global markets going forward. On the domestic front, updates on resolution plan for Yes Bank along with spread of Coronavirus cases would be actively tracked by traders and investors," Ajit Mishra, VP - Research, Religare Broking said.
Private sectors lender Yes Bank's share price tumbled 53 percent in the last week after the Reserve Bank of India (RBI) superseded the bank's board with immediate effect and appointed former State Bank of India (SBI) CFO Prashant Kumar as the administrator.
The central bank has also imposed a moratorium on the private lender till April 3, 2020. Withdrawals from the bank have been capped at Rs 50,000 per depositor. Any withdrawal over that amount will require the permission of the Reserve Bank of India (RBI).
JP Morgan slashed the target price of the Yes Bank stock to Re 1 (from Rs 55 earlier) and retained its underweight call as the brokerage believes the net worth is largely impaired.
Maruti Suzuki reported a 1.1 percent decline in sales at 1,47,110 units and M&M reported a 42 percent decline in total sales at 32,476 units in February.
Tata Motors reported a decline of 34 percent in domestic sales at 38,002 units, while Eicher Motors' February total commercial vehicle sales declined 29.2 percent to 4,439 units.
During the week, 34 confirmed COVID-19 cases were reported in India. However, over one lakh people have been infected by the virus globally and more than 3,600 people have died. Mainland China accounted for more than 3,000 deaths.
On the global front, the Federal Reserve cut its interest rates as an emergency move followed by Canada, Hong Kong, Australia and Malaysia.
"Markets are quite weak however, situation continues to remain in the oversold territory. 10,900 zone is the near term support zone and it will be interesting to watch sustenance below the mentioned zone. Once Nifty decisively closes above 11,350 the process of recovery is likely to materialize till then Index will continue to remain in weak territory," Amit Shah, Technical Research Analyst with Indiabulls Securities said.
The Sensex shed 720.67 points (1.88 percent) to end at 37,576.62 in the last week, while the Nifty fell 212.25 points (1.89 percent) to end at 10,898.50.
Domestic Institutional Investors (DIIs) bought equities worth of Rs 10,092.78 crore, while foreign institutional investors (FIIs) sold equities worth Rs 10,720.49 crore.
For the week, the rupee slipped 161 paise at 73.78 on March 06 against February 28 closing of 72.17.
The BSE large-cap index was down 1.7 percent last week. The BSE small-cap index shed 2.7 percent and the mid-cap index fell 2.5 percent in the past week.
On the BSE, TCS gained the most in terms of market value, followed by HCL Technologies and Asian Paints. However, Reliance Industries (RIL) lost the most in terms of market value last week.
The Nifty Media index underperformed the sectoral indices with a loss of 8.6 percent during the week.
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