Tuesday, 27 October 2020
The markets globally were off to a rocky start to the week, with rising Covid-19 infections in the US and Europe — coupled with the delay in the much-awaited fiscal stimulus deal in the US — keeping investors worried about the economic outlook.
Reacting to the weak sentiment in the world markets, the Sensex ended at 40,145, down 540, or 1.3 per cent — the most since October 15. The Nifty50 index fell 163 points, or 1.4 per cent, to end at 11,768. The equity markets across Europe and the US (until 9.52 pm IST) also dropped sharply amid worries that the pandemic would continue to hurt business and doubts about US lawmakers reaching an agreement on the economic stimulus package.
Nancy Pelosi, the speaker of the US House of Representatives, said the burden is on President Donald Trump to push forward on stimulus talks. Treasury Secretary Steven Mnuchin blamed Pelosi for holding up an agreement. US Treasuries and the dollar rose as investors sought refuge in safe-haven assets.