Share Market Crash: Investors lost more than ₹ 13 lakh crore in 4 days, why is the Indian stock market crashing?

Knews Desk- The Indian stock market witnessed a decline for the fourth consecutive trading day. On Thursday, both Sensex and Nifty closed in the red. This continuous selling has increased the concern of investors. In the last four trading sessions, the total wealth of investors increased by approximately Rs 13.43 lakh crore A shortage of Rs. has been recorded.

In the business of July 23 BSE Sensex slipped 364 points to 76,391 closed on, while NSE Nifty falls 127 points to 23,870 Came to the level of. Even before this, there was pressure on the market throughout the week and both the major indices closed with continuous decline.

How much was the loss in 4 days?

Due to ongoing selling in the stock market Total market capitalization of BSE listed companies decreased to Rs 480.05 lakh crore. left, which a few days ago Rs 484.29 lakh crore Was. In this way, investors’ wealth increased in just four days. About Rs 13.43 lakh crore A decline of ₹ was recorded.

Why is the market collapsing?

1. Rise in crude oil prices
Crude oil in the international market due to increasing tension in the Middle East, fears over supply in the Strait of Hormuz and attacks on ships in the Red Sea. 98 dollars per barrel Has reached beyond. The impact of expensive crude oil is clearly visible on companies in the airline, paint and oil sectors.

2. Impact of American tariffs
Shares of Indian pharma companies have come under pressure due to America’s warning of imposing heavy import duties on generic medicines. After this announcement, sharp selling was seen in many leading pharmaceutical companies.

3. Continuous selling by foreign investors
Foreign institutional investors (FIIs) are continuously withdrawing money from the Indian stock market. Due to global uncertainties and geopolitical tensions, the inclination of foreign investors has weakened, which has had a direct impact on the market.

4. Weak quarterly results of companies
Weaker than expected financial results of many big companies are also having a negative impact on the market sentiment. This weakened investor confidence and increased selling pressure.

What signals for investors?

Experts believe that until global tensions subside, crude oil prices soften and selling by foreign investors does not stop, the Indian stock market may remain volatile. In such an environment, investors are being advised to avoid taking hasty decisions and adopt a long-term strategy.

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