Currently, on the Bank Nifty index, all stocks are in a free fall with the drop ranging from 1.5% to nearly 8.5%.
At around 1.35 pm, Bank Nifty was trading at 36,265.70 lower by 1,099.05 points or 2.94%. The index has touched an intraday low of 36,230.00.
Bandhan Bank was the top bear plunging over 8.3% followed by RBL Bank slipping over 6%. AU Small Finance Bank shed nearly 5%. SBI and IndusInd Bank dipped over 4% each.
IDFC First Bank and Federal Bank dropped by 3.8% and 3.7%. ICICI Bank and Kotak Bank fell by more than 3% each.
PNB declined by 2.6%, while Axis Bank and index heavyweight HDFC Bank dived by 2% and 1.6%.
At present, there has been the detection of a new variant in the Coronavirus that is said to have significantly high mutations and serious public health implications. Following this, the Indian government has directed authorities rigorous screening and testing of travellers from countries like Botswana, South Africa and Hong Kong. Indian markets were in a steep free fall tracking weak global cues as traders hastily leaned towards bonds after news about new detection of a variant in the Covid-19 that could be vaccine-resistant.
On Thursday, Piyush Goyal, the Union Minister of Commerce & Industry, Consumer Affairs & Food & Public Distribution and Textiles said that Insolvency and Bankruptcy Code (IBC), 2016 as a “gamechanger reform” that has been the most successful law in insolvency resolution in the country.
Goyal said that "since the enactment of IBC, India’s rank in ‘Resolving Insolvency’ indicator in World Bank’s Ease of Doing Business Report has seen a meteoric rise of 84 places! Our recovery rate has also dramatically improved from 26 (cents on the dollar) to 71.6 (cents on the dollar)."