Stock market slump: Sensex 1406 while Nifty fell 432.15 points
New Delhi, 21 December 2020 Monday
After a one-sided rally in the Indian stock market on Monday, the stock market crashed sharply, the market is slowly declining, the Sensex fell 1406 to 45,553.96 points at the end of trading while the Nifty fell 432.15 points to close at 13,328.40, the Bank Nifty also closed at 125,88 points.
The sudden slump after the stock market hit new highs for six consecutive days has worried investors, if there are two main reasons behind the slump. According to market experts, lockdowns have been announced in many places, including London, following the rise of new cases of corona in Britain.
In addition, Europe and some countries in the world have imposed travel bans on Britain. Cases of cholera have also increased in Asia, with most of the cases related to Thailand's seafood market.
Another important reason is that large foreign investors (FPIs) have been investing in the Indian stock market for more than two months now.
The sudden sale of FPIs has led to a sharp rise in the stock market. Due to Christmas and New Year, foreign investors are withdrawing their investments from the Indian stock market.
According to experts, investors are reaping the benefits of the record boom in the market. But no one would have guessed that there would be such a big bang in the market all of a sudden.
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