The Indian markets opened in deep red on Monday, with Sensex at 79,589.27, down by over 1600 points, and Nifty at 24,330.10, down by 387.60 points.
Nifty Bank in the morning session was trading low at 50,712.50, also down by 637.65 points.
This is being seen as a part of the global sell-off as major Asian indices including the Nikkei 225, have been deeply impacted by variations in central bank policies. As for Japan, the Bank of Japan, after having historically low interest rates, has now increased the interest rates from 0.1 per cent to 0.25 per cent.
At Dalal Street, most major stocks were trading in red on Monday morning, in the early trading hours. Tata Motors was one of the biggest losers, as it lost over 5 per cent of its value at the opening. Adani Ports, Tata Steel and SBI all lost over 3 per cent of their value.
This development comes a day before the bi-monthly Monetary Policy Committee meeting that is slated to begin on August 6. This MPC meeting will conclude on August 8 and many are not expecting the central bank to change its repo rate. The current repo rate stands at 6.50 per cent.
