Investors Lose Over ₹4 Lakh Crore In Early Trade, Sensex M-Cap Falls From ₹4.51 Lakh Crore To ₹4.47 Lakh Crore Amid Global Tensions
Indian markets fell sharply, wiping out over Rs 4 lakh crore in investor wealth within hours of trading. The decline was triggered by failed US-Iran talks, rising oil prices, and weak global cues. Experts expect volatility ahead but advise selective investing in strong companies amid uncertain global conditions.
Sharp fall in early trade | Representative image | File
Mumbai: Indian stock markets opened sharply lower on Monday, surprising many investors. Within the first hour and a half of trading, investors lost over Rs 4 lakh crore in market value.
The total market capitalisation of BSE Sensex companies dropped from Rs 4,51,61,647 crore on Friday to Rs 4,47,86,459 crore by 10:40 am on Monday. This sudden fall created panic among traders.
US-Iran talks fail
One of the main reasons behind the fall was the breakdown of talks between the US and Iran. The discussions lasted nearly 21 hours but ended without agreement.
This increased global uncertainty and made investors nervous. Rising geopolitical tensions usually lead to selling in stock markets.
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Oil prices jump sharply
Another major trigger was the sharp rise in crude oil prices. The US announced a possible naval blockade around Iranian ports.
After this, US crude oil prices rose 8% to USD 104.24 per barrel. Brent crude also jumped 7 percent to USD 102.29 per barrel.
Higher oil prices increase costs for many industries and can hurt economic growth, which affects stock markets.
Weak global market signals
Global markets also showed weakness. Australia’s ASX 200, Japan’s Nikkei 225, and South Korea’s Kospi all declined.
Hong Kong’s Hang Seng also fell, while China’s Shanghai Composite remained flat. These negative signals added to the pressure on Indian markets.
Market outlook remains cautious
Experts believe markets may remain volatile in the coming days. Rising oil prices, inflation concerns, and global uncertainty are key risks.
Some sectors like aviation, logistics, and manufacturing may face pressure due to higher costs. On the other hand, defensive sectors like FMCG and IT may perform better.
Investors are advised to stay calm and focus on fundamentally strong companies instead of reacting to short-term market movements.
Disclaimer: This article is for informational purposes only and not investment advice. Market investments carry risks. Readers should consult certified financial advisors before making any financial or investment decisions.
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