Indian stock market crashed as soon as it overtook Hong Kong, Rs 8 lakh crore lost in 6 hours - Newztezz Online

Breaking

Tuesday, January 23, 2024

Indian stock market crashed as soon as it overtook Hong Kong, Rs 8 lakh crore lost in 6 hours

Sensex fell by more than 1,000 points and fell below the level of 71,000 points. At the same time, Nifty was also trading below 21,400 points, falling by more than 1 percent. A decline of 1.5 to 2 percent was seen in mid and small cap exchanges.

India had achieved the title of becoming the fourth largest stock exchange in the world by defeating Hong Kong. But this title also did not go well with the investors of the market. The next day of Pran Pratishtha, there was a sharp decline in the Indian stock market. The Sensex fell by more than 1,000 points and came below the level of 71,000 points. At the same time, Nifty was also trading below 21,400 points, falling by more than 1 percent. A decline of 3 percent was seen in mid and small cap exchanges. Due to which stock market investors suffered a loss of approximately Rs 8 lakh crore.

The special thing is that there was a rise in the foreign markets, yet in the Indian stock market, a sharp decline was seen in bank, oil and gas shares, FMCG and metals shares, while buying was seen in pharma and IT. Reliance Industries and HDFC Bank alone contributed to more than half of the loss in Nifty. According to experts, West Asia and Red Sea tension is a matter of concern. If something goes wrong, the market will be affected. Apart from this, the stock market is also high valued. Due to which profit booking is being seen. Let us also tell you the reasons due to which a decline is being seen in the market.

Market broke due to these reasons

HDFC Bank: HDFC Bank shares fell by more than 3 percent on Tuesday. The company's stock has not been able to recover from the December quarter results. Apart from this, a decline of 2 percent was also seen in Nifty Bank. Shares of IDFC First Bank fell by 6.5 percent, followed by IndusInd Bank, PNB, AU Small Finance Bank and SBI.

Reliance Industries: A decline of 2 percent is being seen in the shares of India's most valuable company Reliance Industries (RIL). Global brokerage firm Citi has downgraded the stock to neutral rating with a target price of Rs 2,910, saying RIL's recent outperformance makes the risk/reward more balanced. Its Q3 results were broadly in-line. Selling pressure was also seen in other oil and gas stocks with IOC, HPCL, Adani Total Gas, Oil India, ONGC and BPCL falling 4-5 per cent.

Selling by foreign investors: After buying in the last two months, FIIs have sold more than Rs 13,000 crore in Indian shares so far in the month. Domestic institutions, led by mutual funds, are trying to withstand the selling.

Profit booking by investors: There were warnings from experts for some time. Despite the high valuation of the market, retail investors have made a lot of purchases. Whose profit is now being booked. Nifty has risen 9 percent in the last three months. Whereas small and midcap exchanges have seen an increase of 18 percent.

No comments:

Post a Comment