Silicon Valley Bank crisis and the resulting fall of the New York-based Signature Bank have had a massive impact on the global financial markets, including India’s. As per reports, so far, several stocks have lost close over $400 billion in market value and even our Indian Rupee has been facing a topsy-turvy ride.
As the US banking system braces itself for the SVB crisis, all eyes are also on the Indian bourses, the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE), and the Asian markets, among other things. Here are the top points as of this morning.
- In early trade on Tuesday, the Indian Rupee fell 4 paise to 82.27 against the US dollar.
- Tracing the volatility in Asian markets due to concerns related to the Silicon Valley Bank collapse, losses widened early Tuesday. Here, the MSCI Asia Pacific Index dropped almost 2.7 per cent, South Korea’s Hana Financial Group Inc. also fell about 4.7 per cent and so on.
- As per international media reports, the fears in US markets continued as investors continued dumping shares of bank stocks. The shares of First Republic Bank closed down more than 50 per cent, making everyone question about the bank’s health even more. This happened despite the bank announcing its emergency funding plans.
- On Tuesday, oil prices slipped further as concerns on another financial crisis grew in the wake of the SVB issue. As per reports, Brent crude futures fell almost 9 cents after Brent fell to its lowest since January, on Monday.
- As far as the Indian markets are concerned, at the opening, Sensex climbed 127 points to 58,364.89 points in early trade and Nifty rose to 17,162.65 points.