Stock Market Crash- Nifty ends below 16700 today

Why the Stock Market Crashed today

 

Stock Market crash today: Indian stock market opened gap-down amid negative cues from the global market peers. The equity benchmarks, Sensex opened at 56517.26 levels, down by 494.48 points while Nifty opened gap-down by 160.95 points at 16824.25 levels. The Sensex and Nifty extended their early losses and closed below their crucial levels.

 

Reasons for Stock Market Crash

Indian stock market crashed today as a heavy sell-off was seen across the board. The market was down due to the concerns over rising Omicron cases worldwide including India. The Indian market sentiments got hit as the Omicron tally crossed 150 cases on December 19. The World Health Organisation (WHO) has recently warned that the number of Omicron cases is doubling in 1.5 to 3 days in areas with community spread.

The continuous selling pressure by the FIIs and hawkish monetary policy by the Fed and ECB had earlier dented the trader’s sentiments. Further, the sentiments got subdued with a private report that estimated 6.3% real GDP expansion in FY23, among the lowest within the analyst community, and also stated that there is uncertainty on the growth trajectory. 

Asian market indexes closed in the deep red on Monday. China slashed its benchmark lending rate for the first time in more than one-half years. Investors are concerned as the reducing lending rate indicates policymakers’ concerns around the slowing economic growth in the region. European market indexes are also trading in the deep red, following the negative cues from Asian market peers.

 

Stock Market at the Close

 

At the close, Nifty plunged by 371 points or 2.13 percent and closed at 16614.20 levels while Sensex tanks 1189.73 points or 2.09 percent and finished at 55822.01 levels. The Bank Nifty index closed lower today, it was down by 1178.80 points or 3.31 percent on spot levels and ended at 34439.85 levels.

The broader markets also closed lower today, following their larger peers. The Nifty midcap index was down by 1101.10 points or 3.68 percent and closed at 28838.20 levels. The Nifty smallcap index declined by 437 points or 4.04 percent and finished at 10411.70 levels.

 

Nifty top gainers and losers today

 

The top gainers in the Nifty 50 index were Cipla, Hindustan Unilever, and Dr. Reddy. Whereas the top losers were BPCL, Tata Motors, Tata Steel, IndusInd Bank, and Bajaj Finance.

The top gainers in the Nifty midcap index were Alembic Pharma, Glenmark, and Ajanta Pharma and the losers were AU Small Finance, Oil India, and L&T Technology

The top gainers in the Nifty smallcap index were Future Retail, Aegies Logistics, and IRB Infra, and the losers were CSB Bank, Karur Vysya, and Firstsource Sol.

The most active stocks in the Nifty index in terms of value were HDFC Bank, Reliance, and Tata Motors. The most active stocks in terms of volume were ITC, Tata Motors, and SBI

On a sectoral front, all sectors closed in the red today. The sectors that dragged the markets most were Realty, PSU Bank, Media, Banking, Metals, and Oil & Gas.

 

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Happy Investing!!

Editorial desk