Today, heavy losses in the stock market too; 5 main reasons for this collapse
On June 13, the Indian stock market benchmark indices sense and Nifty 50, Nikki from Nikki and South Korea, suffered significant losses as tension between Israel and Iran is nervous with investors.
Rupee. Damage of 2 lakh crores
Sensex opened at 81,691.98 points, 1,300 points in Intrade or 1.6 percent, Intrade hit a minimum of 80,354.59. Sensex fell 573 points or 0.70 percent to 81,118.60, while Nifty declined by 170 points or 0.68 percent. The middle -CAP and small cap index of BS were lost 0.32 percent and 0.30 percent respectively. The total market capitalization of BSE listed companies has come down from Rs 450 lakh crore to about Rs 448 lakh crore.
Why did the Indian stock market collapse today?
There are five major reasons behind sales in the Indian stock market.
1. Israel attack on Iran
Israel attacked Iran on Friday. Tarked by major nuclear centers, missile factories and military bases. According to Israeli Prime Minister Benjamin Netanyahu, Operation touched the “Iran nuclear rich program, including Natanz Nuclear Center and major nuclear scientists. As Netanyahu claims that the attack on Iran will” continue for several days “, which can continue a major struggle in the Middle East. The operation will continue for several days.
2. Crude oil prices
Following the Israeli attack on Iran, crude oil prices increased by more than 10 percent amid concerns over supply disruptions from the Middle East. This has caused serious damage to India, which is one of the world’s largest crude oil imported countries. With this, the recent fall inflation is likely to grow again.
3. Investors are cautious
Investors are leaving the risk equity in view of geographical political stresses and moving towards safe assets such as American bonds, dollars and gold. Gold prices were 2 %in the domestic future market.
4. Rupee, dollar value
Compared to the rupee, the US dollar increased by more than 0.30 %. The rupee fell 73 money to 86.25 on Friday. The end of Thursday was at 85.52. According to Reuters, the Indian rupee recorded a day of rupee compared to the US $ after May 8. The weakness of the rupee stimulates foreign capital flow. Increase in import cost, increase in inflation loss. Corporate damages profitability.
5. Tariff uncertainty
While Israel-Iran episodes are a quick inspiration for collapse, US President Donald Trump’s tariffs on tariff policies and increasing concerns about American economic collapse have weakened the market spirit. Although President Trump has announced that it has reached a trade agreement between the US and China, he has to get the final approval of the Chinese President G. Jin Ping. Experts believe that this uncertainty seems disappointed with the market, which is expected to be between the world’s two largest economies.
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