As 2024 comes to a close, the Indian markets appear to be in a jittery position. This is because the benchmark Indian indices dropped significantly in the intraday trade on Tuesday, December 17.
Indian Indices In Decline
The BSE Sensex dropped in value by a mammoth 1,000 points in the day's trade. The picture was different at the NSE end as the indices in the exchange also traded with deep, red cuts.
The NSE Nifty 50 dipped by over 305.15 points or 1.24 per cent. The Nifty Bank index also dropped by 733.85 points or 1.37 per cent. The Nifty IT stocks dropped by 373.30 points.
Factors At Play
This dip is largely being attributed to four main factors. Namely, the US Federal Reserve's decision on their interest rate, 2) The exodus of foreign investments and a dearth of new investments, 3) General uncertainty, pertaining to global factors along with the 4) The Slowdown of Dalal Street Bigwigs.
The final FOMC meeting of the Fed is being held between December 17 and 18. The outcome of the development there, whether there is an interest rate cut or not, will sway the markets in the rest of the week and the rest of 2024.
Then we come to the exodus of foreign investments, along with the declining prospect of attaining newer FIIs that is further pulling the markets down.
The BSE Sensex dropped in value by a mammoth 1,000 points in the day's trade. | File Image
The general uncertainty that has plagued global markets over most of 2024, leaves traces of its impact even towards of the year as well. The conflict in eastern Europe, the fight in the Middle East have enveloped a lot of the developments recently.
In addition, the potential change in dynamics with the incoming Trump administration is also another factor that cannot be ignored
In addition to all this, the general drop in the value of major companies including Reliance and, Bharti Airtel and State Bank of India among others had definitely espoused investor confidence.
