Hospital stocks also slipped after Prime Minister Narendra Modi on Monday said the Centre will provide free covid-19 vaccines to all adults from 21 June, in a revision of the government’s much-touted strategy of ‘liberalized and accelerated" vaccination.
The central government will now buy 75% of vaccines and give them free of cost to states, Modi said.
Shares of Max Healthcare, Shalby, and Fortis declined 1-3%. These stocks have risen 22-75% since the beginning of the year, with gains led by improved growth and earnings prospects. India had been battling a vicious second of the pandemic which had overwhelmed the country's healthcare infrastructures, medicines, oxygen, testing kits, and hospital beds running out.
Off late, however, India has reported a decline in daily fresh cases, with less than 1 lakh infections reported on Monday and daily positivity rate falling to 4.6%.