Indian Share Market Fall: The Indian stock market is witnessing a huge decline in the last trading session of the week on Friday, November 14. Weak signals from global markets, selling by foreign investors and the impact of Bihar election results are being seen in the stock market.
Both the major benchmark indices BSE Sensex and Nifty 50 are trading in the red. At around 2 pm, BSE Sensex was down 409 points and was trading at 84,069, while Nifty 50 was also down by 124 points and was trading at 25,755. There is a huge decline in Nifty IT shares. Shares have fallen by 1.82 percent. Let us know about the main reasons for this decline in the stock market.
1. Bihar election results were affected
Before the results of Bihar elections, investors are doing business cautiously, the direct effect of which is being seen on the stock market. According to a report published in Moneycontrol, according to VK Vijayakumar, Chief Investment Strategist of Geojit Financial Services, today’s trading in the stock market will be focused on Bihar elections, but the impact of the results is going to be temporary.
2. Rise in crude oil prices
India is dependent on other countries for a large part of its crude oil needs. There was a rise in the prices of Brent crude oil in the global market on Friday. The price increased by 2.71 percent to reach $ 60.28 per barrel. The effect of this surge in prices is visible in the stock market.
3. Selling by foreign institutional investors
Foreign institutional investors have been withdrawing money from the Indian market continuously for the last 4 days. Foreign investors had sold a total of Rs 383.68 crore on Thursday. Which has had a direct impact on the stock market. Foreign investors are not expressing their confidence in the Indian market and are continuing their selling phase.
4. Weak signals being received at the global level
There was a huge decline in the American market on Thursday. Talking about Asian stock markets, South Korea’s Kospi index slipped 2.2 percent, Japan’s Nikkei index slipped 1.7 percent and Hong Kong’s Hang Seng index slipped 1.4 percent and were trading in the red.
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