By Admin 
Stock Market Crash: The past week (from 22 September to 26 September) was not good for the stock market. During this time, there was a strong decline in the Indian stock market. This decline was so big that Rs 16 lakh crore of investors drowned in just 5 days. On Friday alone, there was a loss of about 7 lakh crore rupees. On Friday, the Sensex broke down 733.22 points or 0.90 % to close at 80,426.46. With this, it recorded a decline of about 2,587 points in the last one week. At the same time, the Nifty 50 also fell 236.15 points or 0.95 percent to close at 24,654.70.
Why decline in the stock market?
- US President Donald Trump’s increase in fees for H-1B visa is under IT stock pressure. Due to this, the biggest decline in IT stocks was recorded. Because of this, the Nifty IT was the most declining sector on Friday. Shares of Indian IT companies like TCS, HCLTECH, Infosys recorded a decline in the sixth consecutive session on Friday. The Nifty IT index was 8 percent down. TCS has suffered the most. TCS 52- came to a lower level of week and since March 2020 it was the worst for TCS. The market cap has lost more than Rs 2 lakh crore due to a six -day decline in IT shares.
- Trump has also announced to impose 100 percent tariffs on the import of branded and patent medicines from 1 October. After this, many Indian pharma companies like Sun Pharma, Lupine, Aurobindo Pharma, Gland Pharma, Cipla declined by 10 percent on Friday. Fear is also that generic medicines will also be brought in the scope of tariffs, which are a large part of the portfolio of many of these pharma companies. The shares of small pharmaceutical companies like Walkhart, Caplin Point fell to 10 percent, while Sun Pharma shares came to a 52 -week low.
- Selling of foreign investors is also a major reason for this decline in the stock market. On Friday, foreign investors sold domestic shares worth 16,057.38 crore. At the same time, Indian investors also sold shares worth Rs 11,464.79 crore.
- The biggest contribution in the rise of 1,000 points in the index last week was that of the Nifty Bank. However, the Nifty got less support for the banking index. The Nifty Bank not only failed to maintain a level of 55,700, but also went down from the bottom 55,000 points and the support of 54,500 even below the zone, which increased the pressure on the Nifty.
- The fall in the rupee from Monday also had an impact on the stock market against the dollar. The rupee is weakening and trading around 88 against the dollar.
- The next week is going to be important for the market. The second quarter business updates will start coming from next week. From October 1, the sale of the auto sector will also come. Next week, RBI is also going to have a meeting of the Mudri Policy Committee, in which it is expected to get an update on the repo rate. The quarterly results will begin with the announcement of the TCS quarterly results on 9 October. The next week is also small because Thursday is a holiday.
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