Stock marketIn (Stock Market Today) Today, after the initial upswing, the downtrend has once again prevailed. Sensex (Sensex Today) Currently trading with a loss of over 1000 points. The Nifty, on the other hand, has slipped below 15,400. The Nifty touched a one-year low of 15344 during trading. About Rs 5 lakh crore of investors have sunk due to this sharp decline in the market. Most of the Sensex stocks are currently trading with losses. The biggest decline was seen in Tata Steel, with shares falling more than 5 per cent. Wipro, Tech Mahindra and Bharti Airtel, on the other hand, are down more than 4-4 per cent. All the sector indices have declined during the trading session. Smallcap stocks have seen the biggest decline. Smallcap 50 and smallcap 100 have declined by more than 3-3 per cent.
Why did the stock market fall?
Many factors have been important for the decline of the market. The Federal Reserve has lowered its U.S. growth forecast for 2022-2023. With this, many market leaders have speculated that the Federal Reserve may raise rates by 1.75% in 2022. At the same time, there are fears in the market that a sharp rise in rates by central banks could lead to a downturn. As a result, investor sentiment in the market has worsened and investors are pulling at every opportunity they can.
With this, FPI is being sold. Due to which the market is not getting a chance to recover. So far in June, FPIs have sold around Rs 25,000 crore. Apart from this, the domestic market is also taking signals from other overseas markets. Most Asian markets have seen declines since the initial rally. At the same time, pressure is also being felt in European markets. Due to which the domestic market has also come to a loss.
This was followed by 4 consecutive days of market losses. The Nifty closed 152 points lower at 52541 and the Nifty closed 42 points lower at 15692. The Sensex opened at 53,018.91 today, up 477.52 points or 0.91% from Wednesday’s close. Nifty also rebounded with a gain of 140.10 points or 0.89%. The Nifty opened above 15,832.25 today.
The Federal Reserve raised interest rates the most in 28 years
The US Federal Reserve has made a big decision to control inflation in the United States. The US Federal Reserve announced an increase of 75 basis points, or 0.75 percent, in interest rates on June 15, 2022. Interest rates have risen to 1.75 per cent since the Fed’s decision. This is the largest increase in 28 years. The 75 bps increase is the highest since 1994. Let me tell you, inflation in the US is at a 40-year high. Inflation in the US was 8.6 percent in May.
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