Sharp Drop in Sensex and Nifty
Mumbai: The Indian stock market witnessed a significant drop today (December 13). The Sensex plunged by over 1,111 points, trading at 80,220, while the Nifty also declined by 330.90 points. The primary reasons for this decline are the strengthening of the US dollar and heavy selling by foreign investors.
Market-Wide Decline
All Sensex stocks faced a major slump, with Bharti Airtel being the sole exception to this trend. By 10:35 AM, the Sensex had dropped by 1,069.13 points, and the market sentiment was overwhelmingly negative. Out of 3,814 stocks listed on the BSE, only 916 saw gains, while 2,740 were trading in the red.
Investors Lose ₹7 Lakh Crore
Today’s massive loss resulted in a reduction of ₹7 lakh crore in investor wealth. Several stocks hit lower and upper circuits, with 212 stocks facing lower circuits and 210 stocks hitting upper circuits.
Metal Sector Suffers the Most
Among various sectors, the metal industry was the worst hit, with the Metal Index dropping by over 2.7%. Shares of major companies like SAIL, NMDC, and Tata Steel saw significant losses. This decline is attributed to China’s announcement of an economic package to revive its struggling economy, which could potentially affect metal prices globally.
Global Impact
On the global front, the US dollar’s strength has pushed the Indian rupee to a record low. Additionally, China’s monetary policy shift—its first in 14 years—aimed at addressing economic challenges has also impacted the Indian market.
Negative Market Sentiment
The overall market breadth was negative, with widespread concerns among investors. The bearish trend and volatility have created a cautious environment, leaving market participants on edge.
