InvestorQ : With the Nifty and Sensex closing lower on 08 April, is the brief rally in the markets over for now?
Anu Biswas made post

With the Nifty and Sensex closing lower on 08 April, is the brief rally in the markets over for now?

Answer
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Neelam Naik answered.
6 months ago


It may be too early to say if the rally is over or if it was a rally at all in the first place. On 08 April, Indian stocks opened pretty strong but ended weak on fears that an extension of the Coronavirus-led lockdown could have a larger impact on business. Key government officials have been hinting that Mumbai was set to extend lockdown measures until April 30 as the numbers have been rising in Mumbai. Nifty closed 0.49% lower at 8,749 while the Sensex ended 0.58% lower at 29,893. The impact was visible in the second half after the European markets opened and the pan-European STOXX 600 index dipped 0.7% and London’s FTSE fell 0.9%. U.S. futures were also lower on virus expansion fears. The consensus now appears to be that either the lockdown may be extended till April 30 in full or the curbs maybe relaxed either in phases or only for some services from April 14 onwards. On 08 April, the indices reflected the larger concern that the lockdown had brought economic activity to a grinding halt and an extension would mean more trouble for the markets. While the Nifty Bank and Nifty IT slipped, Nifty Pharma was in the green on higher demand hopes.