The Indian stock market opened in green mark on 29 October. In early trade, both Sensex and Nifty saw an increase. The Sensex rose 408 points to 80,834.58, while the Nifty opened with a gain of 113 points. However, in the afternoon, the market suddenly turned and lost its speed and got into the red mark.
The Sensex fell nearly 400 points to 80,339.23, while the Nifty slipped below 24,650. IT shares saw heavy selling, which put pressure on the market.
Major reasons for market fall:
Doubt on RBI’s policy – The results of the three -day Monetary Policy Committee (MPC) meeting started from 29 September will come on 1 October. Investors are waiting for the decision, causing uncertainty in the market.
The dilemma of the Indo-US trade agreement-Tariff and H-1B visa issues are keeping investors alert in the ongoing conversation.
Selling of foreign investors – So far, foreign investors have withdrawn about 30 thousand crores in September, which increased the pressure on the market.
Weakness in IT stocks – Changes in America’s H -1B visa policy and increased fees affected IT shares.
The market fluctuating index, India Vix, increased by 1.3% to 11.58%, which reduced the trust of investors.
Experts say that the Indian stock market may continue to fluctuate until the trust of foreign investors returns and there is no clear indication globally.