Mumbai – January 6, 2025
The Indian stock market was thrown into turmoil after reports of the first Human Metapneumovirus (HMPV) case emerged in the country. The Sensex plunged by 1,200 points, and the Nifty nosedived by 420 points, reflecting widespread panic among investors. The HMPV virus, which had previously caused only mild respiratory issues, is now leading to severe cases in China. The rapid spread of this virus worldwide, reminiscent of the early COVID-19 outbreak, has sent shockwaves through financial markets.
Foreign Investor Exodus Adds to Market Decline
The escalating HMPV scare prompted a significant sell-off by foreign investors. The heightened risk perception has resulted in capital outflows from India’s equity markets. With global markets reacting nervously to the virus’ spread, the Indian stock market saw an increase in volatility.
“Investors are moving toward safer assets amid uncertainties caused by HMPV,” noted financial analyst Arvind Malhotra. He added that sectors such as banking, oil and gas, and real estate were among the hardest hit.
Union Health Ministry Issues Preventive Guidelines
In response to the growing concerns, the Union Health Ministry released a set of guidelines to curb the spread of HMPV:
- Cover your mouth and nose with a handkerchief or tissue when coughing or sneezing.
- Wash hands frequently with soap or an alcohol-based sanitizer.
- Avoid public places if experiencing fever, cough, or sneezing.
- Drink plenty of water and maintain a nutritious diet.
- Ensure good ventilation in homes and workplaces.
What Not to Do:
- Avoid shaking hands and close contact with sick individuals.
- Do not reuse tissue papers or napkins.
- Refrain from frequently touching the eyes, nose, and mouth.
Investor Caution as Quarterly Earnings Loom
Adding to market jitters, the third-quarter earnings season is set to begin this week. Many investors are adopting a wait-and-see approach, wary of the potential impact of HMPV on economic performance. Stocks in the PSU Bank, Real Estate, and Oil & Gas sectors showed heightened activity amid the uncertainty.
