The market extended losses in mid-morning trade. At 11:22 IST, the barometer index, the S&P BSE Sensex, was down 373.12 points or 0.91% at 40,682.57. The Nifty 50 index was down 112.90 points or 0.94% at 11,932.90.

Global cues were weak after US-based Apple Inc. said quarterly sales would miss forecasts, illustrating the blow to corporate earnings and economic growth from the deadly coronavirus.

The S&P BSE Mid-Cap index was down 1.31% while the S&P BSE Small-Cap index fell 1.39%. Both these indices underperformed the Sensex.

The market breadth was weak. On the BSE, 553 shares rose and 1574 shares fell. A total of 126 shares were unchanged. In Nifty 50 index, 4 stocks advanced while 46 stocks declined.

Buzzing Index:

The Nifty Metal fell 2.31% to 2,527.05, on the back on negative global sentiment on account of the coronavirus outbreak in China. In the past one month, the index has declined 10.89%.

NMDC (down 7.24%), National Aluminium Company (down 4.35%), Jindal Steel & Power (down 3.1%), Steel Authority of India (down 2.81%), Tata Steel (down 2.8%), Hindustan Copper (down 2.79%), Vedanta (down 1.97%), Hindustan Zinc (down 1.61%), JSW Steel (down 1.58%) and Hindalco Industries (down 1.42%) declined.

JSW Steel said it has emerged as preferred bidder for three iron ore mines in Odisha with an estimated reserves of 1,092 million tonnes. These three mines are Nuagaon, Narayanposhi and Ganua, the steel major informed in a regulatory filing.

In a separate announcement on Monday, JSW Steel said that the National Company Law Appellate Tribunal (NCLAT), has by its order dated 17 February 2020, allowed the appeal of JSW Steel for acquiring Bhushan Power and Steel (BPSL). According to media reports, a two-member bench headed by chairman justice S J Mukhopadhaya, said that JSW Steel will be immune from the acts done by the former promoters of BPSL. However, it also said that prosecution against the former promoters under the money laundering act by the Enforcement Directorate can continue. It has also rejected the petitions filed by operational creditors, seeking higher claims.

Stocks in Spotlight:

Future Lifestyle Fashions slipped 0.22% to Rs 392.75. The company said that a meeting of board of directors of the company is scheduled on 20 February 2020, to consider and evaluate fund raising proposal.

Finolex Industries fell 1.17% to Rs 550. The company said that due to force majeure declared by company's major vinyl chloride monomer (VCM) supplier during March 2020, the operations of the company with respect to its VCM to polyvinyl chloride (PVC) route will be affected for 30 to 35 days. This would result in a shortage of PVC production of approximately 15,000 MT. However, our EDC (Ethylene Dichloride) to PVC route production will not be affected. It added that the manufacturing and supplies of PVC pipes and fittings of the Company will also not get affected.

K.P.I. Global Infrastructure surged 6.04% to Rs 36. The company received a letter of intent for an order to execute a solar power project of 900 KW capacity from JPB Fibers.

Global Markets:

Overseas, Asian stocks fell across the board on Tuesday, as the new coronavirus outbreak continued to roil companies amid expectations it would cause a slowdown.

China on Tuesday said it would accept applications for tariff exemptions from companies on U.S. goods, from March 2, according to a media report. That would apply to 696 American products, including pork, soybeans, crude oil and liquefied natural gas.

Apple Inc said it will not meet its revenue guidance for the March quarter as the coronavirus outbreak slowed production and weakened demand in China. Apple told investors its manufacturing facilities in China have begun to re-open but are ramping up more slowly than expected. The warning from the most valuable company in the United States turned investor cautious. Apple makes most of its iPhones and products in China.

Singapore, one of the worst hit by the outbreak outside China, is set to unveil its budget on Tuesday. The Southeast Asian nation is expected to spend big, to soften the economic blow from the outbreak which has hit companies and tourism.

US financial markets were closed on Monday, in observance of Presidents Day.