A huge fall was seen in the stock market on the last trading day of the week. On Friday, November 7, a huge fall was recorded in the Sensex. Considering the previous trading day, the Sensex fell by more than 1,300 points. Today itself the stock market fell by 600 points as soon as it opened.
stock market crash
A huge decline was seen in the domestic stock market. Both Sensex and Nifty fell as soon as they opened. This was the third consecutive day of decline. Today the Sensex fell by more than 600 points, while the Nifty fell below 25,350. Indian benchmark indices opened in the red on Friday, the last trading day of the week. Selling was seen in Nifty IT, Infra, Auto, PSU Bank, Financial Services and Pharma stocks in early trade.
At around 9:27 am, the Sensex was trading at 82,739.75, down 571 points or 0.69 per cent. Meanwhile, Nifty was trading at 25,340.60, down 169.10 points or 0.66 per cent. Bharti Airtel, HCL Tech, NTPC and TCS were the biggest fallers, while Sun Pharma, Eternal, ITC, Bajaj Finance and ICICI Bank were the top gainers.
Why is the Indian stock market falling?
IT shares were most responsible for the huge fall in the Indian stock market. The impact of the decline in the global technology sector was clearly visible on the Indian IT sector. The Nifty IT index fell by more than 1% in early trade. The huge decline in AI sector and weakness in the US technology index had an impact on IT stocks in the Indian stock market. Meanwhile, the stock market came under pressure after weak quarterly results.
Steep decline in Asian markets.
Japan, Seoul, China and Hong Kong were all trading in the red. Only Jakarta was trading in the green. In US markets, the Dow Jones Industrial Average fell 0.84 percent or 398.70 points to close at 46,912.30 on the previous trading day. The S&P 500 index fell 1.12 percent, or 75.97 points, to 6,720.32, and the Nasdaq fell 1.90 percent, or 445.80 points, to 23,053.99.
foreign investor status
Foreign institutional investors (FIIs) were net sellers on November 6 and sold Indian shares worth ₹3,263.21 crore. Meanwhile, domestic institutional investors (DIIs) were net buyers on the same trading day and bought shares worth ₹5,283.91 crore. According to experts, a special feature of the current market trend is that DIIs are buying more than FIIs. Despite this the market is moving downwards, heavy shorting by FIIs is dominating the buying by DIIs and investors in the market.