Stock market crash: Why is Indian stock market down today? — explained with 5 major reasons
Stock market crash: After logging a bounce back on Friday last week, the Indian stock market again came under the selling pressure as frontline indices lost up to one percent in early morning session. The Nifty 50 index opened lower at the 22,027 mark and touched the intraday low of 21,821, whereas the BSE Sensex opened lower and touched an intraday low of 71,866. The Bank Nifty index also had a gap down, opening at 47,389, and the index touched an intraday low of 46,983.
In the broader market, selling was more profound as the small-cap stock crashed to 1.85 percent while the mid-cap index tanked around 1.75 percent during morning deals. Meanwhile, the India VIX today witnessed a sharp rise and touched a new 52-week high of 21.41. The share market is down today due to a combination of factors including rising volatility, ongoing Lok Sabha elections, non-impressive Q4 results, continuous selling by FIIs, and the US dollar rates sustaining above 105 mark.
These factors have led to a significant decrease in investor confidence, resulting in a bearish market sentiment. Delving deeper into the reasons for the falling Indian stock market, Avinash Gorakshkar, Head of Research at Profitmart Securities, has provided insightful analysis. He has identified two major factors: the rising volatility due to ongoing Lok Sabha elections and the India VIX reaching a new 52-week high.
He also highlighted other significant factors such as continuous selling by FIIs, non-impressive Q4 results, and the US dollar rates sustaining above the 105 mark. This expert analysis can help investors navigate these challenging times. 1] Rising India VIX Index: "The Indian volatility index India VIX today touched a new 52-week high of 21.41, logging over
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