There is chaos in the stock market. Both Sensex and Nifty seem to be falling rapidly. Be it large-cap category or mid-cap segment of BSE, red mark (decline) is visible everywhere. The momentum that was seen on the previous trading day—Wednesday—vanished in an instant as soon as the markets opened. Within minutes of the market bell, the BSE Sensex fell by over 1,200 points, while the NSE Nifty fell by over 380 points. Due to this huge fall in the market, stock market investors have suffered huge losses, and their wealth worth more than Rs 7.5 lakh crore was wiped out in one stroke.
Sensex and Nifty crash in the blink of an eye
On the last trading day—Wednesday—the 30-share Sensex of Bombay Stock Exchange had closed at 77,496 with a gain of 609 points. However, on Thursday the index opened much lower at 77,014. Within minutes, the Sensex fell sharply and lost 1,238 points to 76,258.
Not just Sensex; The start of NSE Nifty was also very disappointing with the opening of the market. On Wednesday, the 50-share index closed at 24,177, up 182 points; But on Thursday it opened at 23,996. After this, looking at the movement of Sensex, Nifty also fell by a huge 381 points and reached the level of 23,796.
The direct impact of this decline in the stock market was immediately felt on investors. On the last trading day—Wednesday—due to strong bullishness, the total market capitalization of companies listed on the Bombay Stock Exchange (BSE Mcap) stood at Rs 4.69 lakh crore at the close of trading. On Thursday, within the first few minutes of the start of trading, it fell to Rs 4.61 lakh crore. Accordingly, the wealth of stock market investors worth Rs 7,51,481.28 crore was wiped out in just a few minutes of trading.
What caused the market turmoil?
Talking about the reasons for the decline in the stock market, the tension between America and Iran still continues. It seems that Donald Trump is not ready to back down on the Strait of Hormuz issue; In a statement he indicated that the US would continue its siege of the strait, further increasing global tensions. This had a direct impact on international crude oil prices, which suddenly increased and crossed the level of $121 per barrel. As a result, inflation risks have once again increased, and stock markets around the world, including India, have come under pressure.
