2024-10-01 21:22:21
New Delhi: The stock market crashed badly on Monday. Nearly Rs 5 lakh crore of investors were lost in a single day. While Sensex fell by more than 1200 points, Nifty also fell by more than 350 points. By the time the market closed, the Sensex fell 1272 points to close at 84,299.78. Whereas Nifty fell by 368 points and closed at around 25810 points. The biggest decline was seen in banking and IT sectors. At the same time, there was a huge decline in Mukesh Ambani’s company Reliance Industries. Due to this decline, lakhs of crores of rupees of investors were lost. On Friday, the market cap of all the companies listed on BSE was Rs 479.10 lakh crore. When the market closed on Monday, this market cap remained at Rs 474.32 lakh crore. In such a situation, there was a decline of Rs 4.78 lakh crore. That means investors lost about Rs 5 lakh crore.
Investment of Rs 57359 crore in one month, foreign investors are kind to the stock market, know what will be the impact.
These shares fell the most
On Monday, the biggest fall was seen in the shares of Reliance Industries, ICICI Bank, HDFC Bank and Axis Bank. At the same time, Bharti Airtel, M&M, SBI, TCS, Infosys and Tata Motors also declined. Nifty Bank, Auto, Finance Services, IT, Media, Realty, Healthcare and Oil & Gas fell up to 1.6 percent.
Market recession occurred due to these reasons
1. Economic stimulus package of the Chinese government
The Chinese government announced an economic stimulus package. Due to this, foreign institutional investors (FIIs) turned towards the Chinese market. Also, China’s central bank announced reducing mortgage rates for existing home loans. This also increased investors’ confidence in the Chinese stock market.
2. Geopolitical Tension
The market also declined due to geopolitical tension. The increase in attacks by Israel in Lebanon has increased uncertainty in global markets. Rising crude oil prices have further affected market sentiment. This put pressure on the Indian equity market due to India’s dependence on oil imports.
3. Nervousness before US data and Powell’s speech
There will be a speech by Jerome Powell, Chairman of the US Central Bank Federal Reserve. Many officials of the bank will give speeches throughout this week. The week will conclude with the US payroll report, which could influence whether the Federal Reserve cuts interest rates again in November.
4. Foreign investors sold shares
Foreign institutional investors (FIIs), who have revitalized the Indian stock market, have started selling their shares. He sold shares worth Rs 1209 crore on September 27. However, despite this, FII investment in September remained more than Rs 57 thousand crore.