Share market crashes: Factors that are spooking Sensex, Nifty
India Today
Investors will be keeping a keen eye on India's January retail inflation data, due out later in the day. Higher crude oil price is another major macro concern for India.
The share market fell about 2 per cent in early morning trade on Monday as Indian shares joined a global sell-off that was triggered by escalating tensions between Russia and the West over Ukraine, and as banking stocks extended their decline.
SENSEX, NIFTY TANK
The NSE Nifty 50 index fell 2 per cent to 17,029, while the S&P BSE Sensex dropped 1.9 per cent to 57,023.63. The Nifty volatility index, which indicates the degree of volatility traders expect over the next 30 days in the Nifty50 index, jumped as much as 21.61 per cent.
WHY STOCK MARKET IS DOWN
"The correction in domestic markets is part of the global phenomenon. Foreign institutional investors are selling due to a high inflationary environment and tensions between Russia and Ukraine. That's giving jitters to the market," said Saurabh Jain, assistant vice president at SMC Securities, according to Reuters report.
Energy and metal prices are on the rise, which is essentially stoking inflationary pressure across the global economy, Jain was quoted as saying by Reuters.
INFLATION, CRUDE OIL