Why Share Market Fall Today: Today proved to be ‘Black Thursday’ for the share market! A historic fall of about 2500 points was recorded in the Sensex, due to which investors lost Rs 12 lakh crore in one go. Know what are the biggest 5 reasons for the decline in the market…
Stock Market Crash Today Reasons: If you’re worried about looking at your portfolio today, you’re not alone. On Thursday, March 19, there was such an ‘earthquake’ in the Indian stock market that all the earnings of the last three days were wiped out in one fell swoop. Sensex fell by about 2,497 points and closed at 74,207, while Nifty slipped by 776 points to 23,000. Not only big stocks, small and medium stocks were also crushed. The midcap index fell 3% and the smallcap index fell 2.6%. Nearly Rs 12 lakh crore of investors were lost in this tsunami of the market. After all, what happened suddenly that the market collapsed like a house of cards? Let us know…
5 biggest reasons for stock market falling
1. America-Iran war becomes more dangerous
Everyone hoped that the war would end soon, but the situation has worsened. After the attack on Iran’s gas plant, the Iranian President has warned that the whole world will have to suffer its consequences. Energy plants are being targeted from both sides, due to which the entire world market is scared.
2. Crude oil prices on fire
Due to war, crude oil prices have crossed $118 per barrel. This is very bad news for India, because we buy most of the oil we need from outside. Oil becoming expensive directly means increase in inflation and decrease in profits of companies.
3. Resignation of Chairman in HDFC Bank
The turmoil in the country’s largest private bank, HDFC Bank, added fuel to the fire. Bank chairman Atanu Chakraborty suddenly resigned. He said that something was happening inside the bank which was against his principles. After this news, HDFC shares fell by 8% to their one-year low (₹772).
4. Shock from the US Federal Reserve (US Fed)
The Central Bank of America did not cut interest rates. Earlier it was expected that the rates would be reduced twice this year, but now it seems that there may be only one reduction or even that may not happen. This made investors feel that it would take time for the era of ‘cheap loans’ to return.
5. Rupee at its lowest ever level
The Indian rupee has reached a record low of 92.63 against the dollar. When the rupee weakens, foreign investors (FIIs) start withdrawing their money and run away, which directly impacts the stock market.
Disclaimer: The information given in this article is for educational purposes only and should not be considered as investment advice. Investing in the stock market is subject to risks. Before investing money in any share, please consult your certified financial advisor (SEBI Registered Advisor).