Stock market crash: The Indian stock market resumed its downward trend on Monday (March 23), with the equity benchmarks—the Sensex and the Nifty 50— plunging as much as 2% each in early deals.
The Sensex plunged over 1,550 points, or over 2%, to 72,977, while the Nifty 50 plunged nearly 500 points, or over 2%, to 22,634.
The BSE 150 Midcap and the BSE 250 Smallcap indices crashed more than 2% each.
Investors’ wealth was eroded by about ₹8 lakh crore within minutes as the overall market capitalisation of BSE-listed firms dropped to ₹421 lakh crore from ₹429 lakh crore on Friday.
Why is the Indian stock market falling today?
After Friday’s decent gains, the domestic stock market is witnessing intense selling pressure. Let’s take a look at the five key factors behind the stock market crash today:
1. The intensifying US-Iran war
Middle East tensions have been ratcheting up, contrary to expectations of an imminent easing.
US President on Saturday threatened to “obliterate” Iran’s energy infrastructure if the West Asian failed to open up the Strait of Hormuz within 48 hours.
Meanwhile, Tehran has warned that the will be “completely closed” if the US follows through on threats to target its power plants.
A Reuters report quoted Israeli military chief Eyal Zamir saying that launched two ballistic missiles with a range of 2,500 miles at the U.S.-British military base at Diego Garcia in the Indian Ocean.
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(This is a developing story. Please check back for fresh updates.)
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