BSE Sensex, Nifty close lower in choppy trade

Mumbai: Equity indices nursed losses after a choppy session on Monday, weighed down by banking stocks which wilted under intense selling pressure on concerns over their asset quality amid the coronavirus crisis.

After starting off the session on a positive note, the 30-share BSE Sensex got caught in a downward spiral and slumped over 500 points from the day's peak. It managed to recover some lost ground and finally settled at 37,934.73, showing a loss of 194.17 points or 0.51 per cent.

Likewise, the broader NSE Nifty closed 62.35 points or 0.56 per cent lower at 11,131.80.

Banking counters led the losses on the Sensex chart, with ICICI Bank, HDFC Bank, Axis Bank, IndusInd Bank and SBI dropping as much as 6.11 per cent.

The RBI's Financial Stability Report, released post market hours on Friday, said gross non-performing assets of banks may jump to 12.5 per cent by the end of this fiscal under the baseline scenario, from 8.5 per cent in March 2020, amid the COVID-19 crisis.

"Indian benchmark indices ended a volatile day in the red, following negative

global cues and domestic uncertainties.

Global markets were impacted due to rising US-China tensions and suspected second wave of virus

infections.

Sectorally, BSE banking index tumbled 3.58 per cent and finance declined 2.5 per cent. Realty, healthcare and consumer durables indices were the other major losers.

Broader BSE mid-cap, small-cap and large-cap indices slumped up to 1 per cent, underperforming the benchmark.

On the forex market front, the Indian rupee ended unchanged 74.83 against the US dollar.

Global oil benchmark Brent crude slipped 0.43 per cent to $43.59 per barrel.