Markets tumble on bleak GDP outlook

Mumbai: The Sensex dropped over 310 points on Wednesday, tracking losses in index-heavyweights HDFC twins, Reliance Industries and Kotak Bank, as global markets tanked on bleak economic outlook due to the Covid-19 pandemic.

After gyrating over 1,346 points during the day, the 30-share index ended 310.21 points or 1.01 per cent lower at 30,379.81. It hit an intra-day high of 31,568.36 and a low of 30,222.07. Similarly, the NSE Nifty settled 68.55 points, or 0.76 per cent, down at 8,925.30.

Kotak Bank was the top loser in the Sensex pack, cracking around 6 per cent, followed by Hero MotoCorp, Bajaj Finance, Maruti and HDFC twins. On the other hand, HUL, HCL Tech, ITC and Nestle India were among the gainers. Despite opening on a positive note, domestic stocks gave up all gains in a highly volatile session following negative sentiment in global equities amid projections of major slump in economic growth, traders said.

The IMF on Tuesday slashed India''s projected GDP growth to 1.9 per cent in 2020 from 5.8 per cent in January, as the global economy is seen hitting the worst recession since the Great Depression in the 1930s due to the raging coronavirus pandemic that has nearly stalled all economic activities across the world. Brent crude futures, the global oil benchmark, slipped 4.43 per cent to $28.29 per barrel. Bourses in Shanghai, Hong Kong and Tokyo ended significantly lower. Stock exchanges in Europe too opened in the red.