Explorer

Stock Market Crash: Investors Lose Over Rs 6.5 Lakh Crore In Just 2 Hours Of Trading

The negative sentiment in the Indian market was account of fresh Covid fears, which sent shivers down the spine of investors

New Delhi: The day is really turning into a ‘Black Friday’ for the Indian stock markets as investors pressed the panic button.

They have lost a whopping Rs 6.50 lakh crore in wealth in just two-hour of trading sessions due to an across-the-board sell off.

Investor wealth, according to the data as measured by the BSE market capitalisation, showed investor wealth plunged by Rs 6.55 lakh crore to Rs 259.11 lakh crore from Rs 265.66 lakh crore a day ago.

The BSE Sensex tanked 1,400 points, while the NSE Nifty was trading below 17,100 during intra-day trade on Friday.   

The key benchmark indices are witnessing a sharp decline as Sensex and Nifty are showing a decline of 2.36 per cent and 2.54 per cent, respectively.

The negative sentiment in the Indian market on Friday was because of weak global cues. Stocks eroded fast as the new Covid variant (B.1.1.529), also known as the South African variant, sent shivers down the spine of investors. That is why no sector except the pharma sector is trading in the green in the domestic market. 

Indian stock markets have been declining for the past two weeks, but the news of the new Covid variant has added to the woes. The European Union has banned flights from South Africa. Lockdowns have already been imposed in many European countries because of rising Covid cases. 

According to media reports, the B1.1.529 variant suddenly surging has mutations that could potentially mean higher transmissibility and the ability to evade vaccine defences. Scientists are worried in equal measure, and are talking about it as potentially the ‘next Delta’ variant.

According to analysts, the market has been constantly up and thus it seems extremely expensive. Any such major fall in the market gives investors a chance to buy. The midcap and smallcap stocks were the worst hit by this fall. The market fears can be gauged from the fact that the Indian Volatility Index (India VIX) has soared from 15.45 per cent to 19.47 per cent.

Since the beginning of the current fiscal year, foreign investors have also been on a selling spree, especially in the secondary market (stock exchange). Whereas rising inflation can also lead to increased interest rates in the market. The RBI’s monetary policy committee is scheduled to meet from December 6 and the RBI governor will clear his stand on interest rates on December 8.

View More
Advertisement
Advertisement
25°C
New Delhi
Rain: 100mm
Humidity: 97%
Wind: WNW 47km/h
See Today's Weather
powered by
Accu Weather
Advertisement

Top Headlines

GRAP 3 In Delhi From Tomorrow As AQI Remains In 'Severe' Category. Details Here
GRAP 3 In Delhi From Tomorrow As AQI Remains In 'Severe' Category. Details Here
AAP's Mahesh Kumar Khichi Elected As Delhi's New Mayor Amid Cross-Voting
AAP's Mahesh Kumar Khichi Elected As Delhi's New Mayor Amid Cross-Voting
Lahore AQI Worse Than Delhi, NASA Shares Smog Photos As Pakistani City Reports 15,000 Respiratory Cases
Lahore AQI Worse Than Delhi, NASA Shares Smog Photos As Pakistani City Reports 15,000 Respiratory Cases
Jharkhand Richest Candidate Has Assets Worth Rs 402 Crore, CM Hemant Soren In Top-10 Richest List
Jharkhand Richest Candidate Has Assets Worth Rs 402 Crore, Hemant Soren In Top-10 Richest List
Advertisement
ABP Premium

Videos

Nirmala Sitharaman Announces Game-Changing Collateral-Free Loan Scheme for MSMEsSIP Emerges as a Safe Investment Amidst Market Fluctuations | Paisa LiveTop Banks Offering 8.75% Interest for Senior Citizens: Here’s What You Need to Know!RBI Set to Make a Big Decision on Your EMI: What You Need to Know!

Photo Gallery

Embed widget