Stock Market Crashes in 150 Minutes: Investors Lose ₹4.23 Lakh Crore as Sensex, Nifty Plunge

Mumbai: In a dramatic turn of events, the Indian stock market witnessed a sudden crash within just 150 minutes on Tuesday, erasing over ₹4.23 lakh crore in investor wealth. What began as a strong session turned into a turbulent trading day as Sensex and Nifty came under intense selling pressure across sectors.

The Sensex, which touched an intraday high of 84,986.66 at 9:35 am, nosedived 759 points to hit 84,227.66, while the Nifty dropped 215.55 points to 25,826.15 from its peak. The BSE market capitalization, which stood at ₹4,73,56,448.92 crore in the morning, slipped to ₹4,69,33,362.68 crore by 12:05 pm, marking a staggering loss of ₹4,23,086.24 crore in investor wealth.

📉 Market Overview

The sell-off came despite a positive start earlier in the week, supported by easing US-China trade tensions and stable domestic economic data. By 1:35 pm, the Sensex partially recovered but was still down 136 points at 84,642.01, while the Nifty traded 25 points lower at 25,940.30.

Among top performers were Tata Steel, L&T, and Tata Motors, while major laggards included Axis Bank, ICICI Bank, Tech Mahindra, Bajaj Finance, Bajaj Finserv, and Trent, all slipping over 1%.

⚠️ Key Reasons Behind the Market Fall

1. Foreign Institutional Investor (FII) Selling:
   FIIs offloaded shares worth ₹55.58 crore on Monday, dampening investor sentiment.
2. Profit Booking:
   After several sessions of gains, investors booked profits in sectors like banking, financials, FMCG, real estate, and IT.
3. Rupee Weakness:
   The rupee depreciated by 21 paise to 88.40 against the US dollar, as rising crude oil prices and strong dollar demand weighed on currency markets.
4. Increased Volatility:
   The India VIX, a measure of market fear, surged 5% to 12.50, indicating rising uncertainty among traders.
5. Nifty Monthly Expiry Pressure:
   The expiry of Nifty derivative contracts led to volatility as traders rolled over or squared off their positions.
6. Global Crude Oil Movement:
   Brent crude prices inched up to $65.65 per barrel, adding to inflationary and fiscal concerns.

💬 Expert Take

Anand James, Chief Market Strategist at Geojit Financial Services, noted that Nifty failed to sustain above the 25,940–26,000 resistance zone seen on Monday.

“A breakout above 26,000 could revive bullish momentum, but a drop below 25,900 may weaken sentiment further,” James said, adding that a deeper correction toward 25,590–25,400 seems unlikely at present.

Despite the sudden decline, analysts suggest that markets may stabilize once global cues settle and domestic earnings season resumes, with long-term fundamentals remaining intact.

Originally published on newsworldstime.com.