A day after a massive crash, the Indian markets witnessed choppy trade in the opening on Tuesday. The initial buying spiked the indices, which soon lost their gains in a see-saw trade.
The Bombay Stock Exchange's 30 share benchmark index, Sensex, was up 250 points in the opening but soon shed the gains to trade 243 points lower, at 45,310 levels, thereby losing nearly 500 points over the course of the day.
Similarly, the broader 50-share index of the National Stock Exchange, or Nifty 50, fell 106 points to trade at 13,228.
A stock market trader explained the fall to Sputnik, relaying that the Indian markets were in the overbought zone and were trading at dizzying levels.
"A correction had to come. New, fast spreading strain of Coronavirus in the UK has given the reason to the market to correct."
Shares of Reliance Industries Ltd. were down while banking shares remained weak. The banking index was almost 500 points down from the day's high. Major banking shares like HDFC and IndusInd Bank traded in the red in the opening on Tuesday.