Markets in Freefall: 5 Key Reasons Behind Today’s 1,000-Point Sensex Drop
After a major surge, fueled by ceasefire news, Indian stock market today experienced an economic slump. In the end, both Sensex and Nifty fell over one percent because of profit-booking, rising U.S. Treasury yields, and a decrease in the index heavyweights.
Markets in Freefall: 5 Key Reasons Behind Today’s 1,000-Point Sensex Drop
The BSE Sensex dropped 1,000 points which is 1.21 percent, to 81,430 and the Nifty50 dropped 264 points, equivalent to 1.06 percent at around 10:34 am.
What cause sensex crash, Nifty 50 today and Sensex fall from their intraday highs?
Stock market crash experts outlined why stock market is falling:
1] Monthly expiry date on Thursday:
"March series expiry date falls on Thursday of this week. Since people made large calls during the recent bull market at Dalal Street, they are taking their positions off in large quantities. It could also be the reason behind selling at higher prices in the current market," said Anshul Jain the Head of Research at Lakshmishree Investment and Securities.
2] Stock market holiday on Monday of next week:
Because there is a chance that the US market will continue to operate for the next week on Monday the market is not going to be in any danger which is an important reason to sell at a higher price.
3] Donald Trump's tariffs:
Avinash Gorakshkar is the Head of Research and Analysis at Profitmart Securities, said, "Including the stock market holiday that falls on a Monday next week, investors are concerned about the new tariff snarl from Motormouth Donald Trump has announced to start implementing. could also be a reason behind investors quitting their positions in anticipation of the new tariff dispute that is expected to start this month."
4] Results of Q4 2025:
Avinash Gorakshkar announced that the Q4's earnings season for current fiscal year will begin next month. Investors are eagerly awaiting results of the company following Morgan Stanley's impressive Indian economic outlook forecast. Therefore, investors are planning profits prior to the start of the Q4 earnings 2025 season.
5] Sensex Heavyweights Under Pressure:
Avinash Gorakshkar suggested that some blame should be given to dramatic selling in Sensex heavyweights such as Reliance Industries, ICICI Bank, HDFC Bank, Larsen and Toubro, and others.
