India VIX jumped 6.5% on Monday morning. (Image: REUTERS)
Share the market news today Sensex, Nifty, LIVE stock prices: Domestic base indices started the first week of trading in negative territory. S&P BSE Sensex dipped nearly 400 points, behind 50,000. The Nifty 50 index dropped 14,800. Infosys, Tech Mahindra and HCL Technologies were the only winners at Sensex. Bajaj Finance and IndusInd Bank took the most, falling more than 2% each, followed by Bajaj Auto. India VIX, volatility rose by 6.5% to reach 21 levels again. Among the industry indices, Nifty IT and Nifty metal were the only indicators of growth.
As the second wave of the coronavirus pandemic occurs in India, the outlook for economic growth remains unchanged. Nomura noted that its baseline forecast for GDP growth for fiscal year 22 was 13.5% compared to last year, compared with estimates of 7.4% for fiscal year 21. Nomura said the second wave affected high-frequency data such as mobility and traffic, especially in the most affected state of Maharashtra. “In our view, as the second wave started only at the end of March, and as the economy returned to normal in January and February, the second wave is unlikely to have a significant impact on GDP growth in the first quarter, and our estimate of 1.0% per year seems reasonable.” , – the report says. However, a long second wave with increased restrictions, according to Nomura, may affect Q2.