Stock Market Crashed Today: There has been a huge decline in the domestic stock markets today. Sensex fell by more than 1000 points today. At the same time, Nifty has also fallen by one percent more. Due to which Nifty50 fell below the mark of 26,000. Due to the huge fall in the stock markets today, investors have suffered a loss of Rs 2.73 lakh crore. The market cap of Sensex listed companies has decreased to Rs 475.20 lakh crore. Let us know the reasons behind the decline in the stock market-
1- Increasing tension in the Middle East
With Israel’s increasing attacks, tension has started increasing in the Middle East. Due to which a situation of big war is being created. If this happens, apart from Israel, the interference of Iran and America will also increase. According to experts, tension in the Middle East is nothing new for investors. But in such a situation, the attention of investors is moving towards safe investments like gold.
2- Fear of high valuation
The Indian stock market was making new records every day last week. This was happening when the economic growth rate was in better condition and good news had come for the Indian economy. Retail investors are also investing a lot of money. But investors are also afraid of high valuation. Due to which profit recovery is taking place vigorously.
3- China Factor
According to experts who monitor the stock markets, foreign investments have been attracted due to the steps taken by China. Because China’s valuation is low. On Friday, foreign investors had sold shares worth Rs 1209.10 crore in the domestic stock markets. However, due to India’s strong growth rate, FPIs will remain associated with the domestic market.
4- Waiting for quarterly results
According to experts, after reaching the record high, investors are making huge profits. For a fresh start, investors will wait for the quarterly results of the companies. For new growth in the market, quarterly results of big companies will have to be good.
(This is not investment advice. The stock market is subject to risks. Before making any investment, please consult verified experts.)