Selloff in the Global Market and Indian Stock market goes intensive last week and in the last two months alone nifty had lost nearly 12.33%. Such a deepcuts in the market are more likely due to Global Sentiment, Chinese Market manic sell-off, local NPA Banking Crisis. Raising credit spreads – Junk bond market is flashing out warning signs and the spiking Gold-Oil Ratio above 30 year high are some of the pre-warning signals for this market crash.
It is a Black Monday for Indian Stock Markets and other world markets crashed as global stocks and commodities extended last week’s steep declines. Nifty and Sensex Crashed around 5.92% and 5.94% respectively. Nifty lost nearly 494 points, Bank Nifty around 1298 points (-7.19%) and Sensex around 1624 points. In the Equity Market FII’s sold Rs -5275.40 Cr worth of stocks and DII’s Bought Rs 4097.83 Cr worth of equities. Chinese Market Sell of Followed by European and US stock Exchanges are the key trigger for Indian Stock Market Crash.
Just Check out the dirty candle formed in Dow Jones today. The total length of the candle bar is more than 1000pts followed by a recovery of nearly 600pts. Its really a scary and a amazing roller coster intraday ride.The Dow Jones industrial average (INDU) lost as much as 997.21 points in volatile trading. It was down 347 points, or 3.2%. The Dow’s biggest one-day point selloff on a closing basis was Sept. 29, 2008, when it fell 777.68