support@headlinenews360.com
On Friday, the Indian stock market saw a huge decline. The Sensex fell 1,395 points (1.87 per cent) and the Nifty 428 points (1.9 per cent). This decline has been going on since September last year, since the market has come below its all-time high. Since then the Sensex has broken 16 per cent (12,256 points) and Nifty 18 per cent (3,991 points). Nearly 18 percent of investors have drowned.
what is the reason for the decline?
There are many reasons behind the decline of the stock market. One reason for this is the selling of foreign investors. FPI has been selling continuously since October last year. He has so far sold shares worth Rs 2.13 lakh crore. Apart from this, Trump’s tariff plan is also affecting the market.
Actually, US President Donald Trump has announced to impose an additional 10 per cent tariff on China. This has increased uncertainty in global markets. At the same time, the decline in Asian markets is also the reason behind this. Japan’s Nikkei has lost 3 percent, South Korea’s Kospi 2.7 percent and Hong Kong’s Heng Seng is lost 1.5 percent.
Mid-cap and small-cap shares hit
BSE Small-Cap Index: 3.30 percent drop
BSE Mid-Cap Index: 2.90 percent drop
Aum of mutual funds
Equity Mutual Funds Aum reduced to Rs 1.1 lakh crore (3.26 per cent) in January 2025 to Rs 29.46 lakh crore.
Small-Cap Funds: Rs 23,665 crore (7.19 per cent) declined
Mid-Cap Funds: 26,600 crore rupees (6.65 per cent) declined
What was the effect on investors?
In 2024, a large number of retail investors in the market have suffered heavy losses. Whether they buy shares directly or through mutual funds, their capital is submerged in both cases.
What do experts say
Experts believe that the market does not like uncertainty and this uncertainty has increased since Trump became President. Trump’s tariff plan has affected the market. It is clear from the announcement of imposing an additional 10 percent of additional tariffs on China that Trump wants to make a beneficial agreement for America by scaring countries with tariffs in the early months of his tenure.
disclaimer: (Here information provided is being given only for information. It is necessary to tell here that the investment market is subject to risks. Always consult an expert before investing money as an investor. Never is advised by Abplive.com to invest money here.)"text-align: justify;"> Read also: India’s GDP speed gained, economy showed 6.2 percent increase in Q3