There was huge turmoil in the stock market on the first day of the week. Both Sensex and Nifty fell sharply upon opening and are currently trading with significant losses. Amidst this decline, investors holding shares of jewelery companies have suffered the most losses. Shares ranging from Titan to Senco Gold and Kalyan Jewelers fell sharply. This sharp decline came after Prime Minister Narendra Modi’s appeal to the citizens of the country.
Titan shares fell sharply as soon as they opened
First, let’s take a look at the fall in individual jewelery stocks on Monday. Upon opening, Titan shares fell to ₹4,350 from its previous closing price of ₹4,517. Within minutes, the stock fell more than 7 percent to ₹4,150. Due to this big fall, the market capitalization of this Tata Group company also fell to ₹ 3.75 lakh crore.
Other jewelery shares also fell
Apart from Titan, shares of other jewelery companies also saw a significant decline on the first trading day of the week, and almost every stock in the sector suffered losses. Shares of Senco Gold fell 10 percent as soon as the market opened. Besides, shares of Kalyan Jewelers fell 8 percent. Shares of PC Jewelers fell 5 percent during trading. Meanwhile, shares of Goldium also fell by more than 5 per cent to ₹408.
The condition of the stock market is bad
There was turmoil in the major Indian stock markets also on Monday. Due to continuous tension in the Middle East and lack of agreement between America and Iran on the peace proposal regarding the Strait of Hormuz, the prices of crude oil have increased once again. Brent crude oil prices rose nearly 4.50 percent to $106 per barrel, while WTI crude prices also saw a sharp jump of more than 5 percent. The rise in crude oil prices has once again raised concerns about global inflation, and its impact was clearly visible in stock markets around the world. In Asian markets, indices from Japan to Hong Kong saw sharp declines, while the Indian stock market fell sharply. As soon as the market opened, the Sensex fell by more than 900 points, while the Nifty fell by 275 points.
What did PM Modi say?
It is worth noting that one of the main reasons behind this fall in the stock market – and especially the huge fall in jewelery stocks – is Prime Minister Narendra Modi’s appeal to the country. In this appeal, he had urged the citizens to postpone the purchase of gold for some time. Referring to the ongoing conflict in the Middle East, he said that at present there is a war going on in our neighborhood, the impact of which is being felt all over the world including India. He appealed to the public to abstain from buying gold for a year and focus on saving fuel.
