Stock Market Crash Updates: The Indian stock market witnessed a sharp sell-off on Monday as the intensifying trade war between the United States and China rattled global financial markets. The Sensex plunged nearly 3,000 points, while the Nifty slipped below the critical 22,000 mark, erasing lakhs of crores in investor wealth.
Sensex and Nifty Plunge Sharply
At noon, the Sensex was trading at 72,385.4, down 2,979 points or 3.95 per cent, while the Nifty dropped 976.1 points or 4.26 per cent to 21,928.3. The key trigger behind Monday’s crash was the intensifying trade conflict between the world’s two largest economies.
Tit-for-Tat Tariffs Spark Global Recession Fears
After the US announced sweeping tariff hikes, China hit back with retaliatory duties on several American products. The tit-for-tat moves have raised fears of a prolonged trade war, which could derail global economic growth and disrupt manufacturing and supply chains.
Investor Sentiment Worsens Globally
Investors across the world are growing increasingly worried that the trade tensions will slow global demand, raise costs for businesses, and eat into corporate profits. The fear of a global recession has further spooked investors.
Asian Markets Hit Hard
The uncertainty has triggered heavy selling across equity markets, with Asia bearing the brunt of the panic. Japan’s Nikkei tumbled 7 per cent, South Korea’s Kospi fell 5 per cent, and Hong Kong’s Hang Seng crashed over 10.5 per cent. The negative sentiment spilled over into India, where all 13 sectoral indices on the BSE were trading in the red.
Sectoral Indices Deep In Red
The Nifty Metal index plunged 8 per cent, while Nifty IT dropped more than 7 per cent amid worries over US exposure. Auto, realty, and oil and gas sectors also saw declines of over 5 per cent each. The sell-off was more severe in the broader market, where mid-cap and small-cap indices lost 7.3 per cent and 10 per cent, respectively.
Top Losers On Sensex
Top losers on the Sensex included Tata Steel, down nearly 10 per cent, followed by Tata Motors, Infosys, L&T, and Tech Mahindra, each falling between 6 per cent and 8 per cent. (With IANS Inputs)
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