Share market today: Domestic stock markets on Monday came under heavy sell-off that sent the benchmark Sensex crashing by over 1,100 points, or nearly 2 per cent — the steepest fall since April this year. Concerns over the government taking a step back on its reform agenda on the farm laws front, decision by Reliance Industries Ltd to “re-evaluate” the Saudi Aramco deal and Paytm’s’ relentless fall spooked market sentiment at a time when inflation and interest rate worries are taking a toll. Moreover, a resurgence of coronavirus outbreaks in the US, Europe and some other regions also weighed on investor sentiment. With the sell-off intensifying in the second half of the session, the Sensex slumped by 1,170 points, or 1.96 per cent, to 58,465.89 while the Nifty50 plunged 348 points, or 1.96 per cent, to 17,416.55. According to Deepak Jasani, head of retail research, HDFC Securities, valuations concerns resurfaced among foreign portfolio investors (FPIs) who sold stocks worth Rs 3,438 crore even as new-age IPOs, Paytm and PB Fintech, came under severe selling pressure. Meanwhile, the rupee depreciated by 9 paise to end at 74.39 against the US dollar on Monday, as massive sell-offs in domestic equities and a strong greenback in the overseas market weighed on investor sentiments. Domestic markets opened on a negative note despite mixed Asian market cues as China on Monday kept the one-year Loan Prime Rate (LPR) unchanged. During the afternoon session, markets further drifted lower and traded at the day’s low amid resurgence of coronavirus outbreaks in Europe and some other regions. RIL shares fell by 4.42 per cent to Rs 2,363.40 as the company decided to re-evaluate the stake sale to Aramco. Paytm slumped by another 13 per cent to close at Rs 1360.30, taking its total loss to 37 per cent from IPO price of Rs 2,150. “Subdued listing and continuation of weak trading of Paytm, India’s largest new generation fintech, is a big sentimental setback to the domestic market, which was thriving on the strong primary market. It will impact the inflow of money from the retail segment, which has been a key player during the year,” said Vinod Nair, head of research at Geojit Financial Services.
