Mumbai, March 4: The Indian stock market witnessed a significant decline on Wednesday, with the Sensex falling by 1,451 points or 1.81 percent to reach 78,787. The Nifty also dropped by 476 points or 1.91 percent, settling at 24,392 around 12:40 PM.
This downturn has resulted in a loss of ₹12 lakh crore in market capitalization for all companies listed on the Bombay Stock Exchange, bringing the total down to ₹445 lakh crore from ₹456 lakh crore on Monday.
The primary reason for this sharp decline is the escalating conflict between Israel and Iran, with the United States also involved. Continuous attacks by the US and Israel on Iran, along with Iran’s targeting of American bases in the Middle East, have raised concerns among investors about potential impacts on the economy.
Additionally, crude oil prices have surged to a four-year high, with WTI crude rising by 2.86 percent to $76.69 per barrel and Brent crude increasing by 3.16 percent to $83.97.
The depreciation of the rupee against the dollar has also contributed to the market’s weakness, with the rupee hitting an all-time low of 92.41.
Foreign institutional investors (FIIs) have been selling off shares, with a reported sale of ₹3,295.64 crore on Monday, while domestic institutional investors (DIIs) invested ₹8,593.87 crore.
The India VIX, an indicator of market volatility, has surged by 21 percent to reach 21, indicating increased chances of further market declines.
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“Disclaimer: This news is sourced directly from the agency, and our team has not made any edits.”
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.
