Mumbai: The Indian stock market started the day with a fall. Both Sensex and Nifty 50 went down by about 1%. Because of this, investors lost nearly ₹4 lakh crore in just a short time.
The Sensex dropped to around 73,326 and Nifty 50 fell to about 22,771. Big companies, as well as mid and small companies, all saw their shares go down.
Big companies affected
Shares of IndiGo, Zomato, Mahindra & Mahindra, SBI, Axis Bank, and Asian Paints fell by 2–3%.
Some shares like Bajaj Finance, Tech Mahindra, HCL Tech, and ITC did not fall much and stayed slightly up.
Which sectors fell the most?
Auto companies fell the most (over 2%)
Government banks fell around 2%
Metal companies saw a small rise
Fear in the market increased (India VIX went up)
Why is the market falling?
There are two main reasons:
Global tension (Iran issue)
Strong statements from Donald Trump about Iran have created fear of war. This is making investors worried.
Oil prices going up
Crude oil price has reached around $110 per barrel. This is bad for India and puts pressure on the market.
What should investors know?
Because of fear and uncertainty, many investors are being careful. The market may go up and down in the coming days depending on global news and oil prices.