Horrifying Thursday – Domestic Stocks Plunges Sharply
On Thursday, there was a sharp plunge in domestic stocks that wiped off Rs 4 lakh crore of investor wealth within five minutes.
According to data, the combined market capitalization of all BSE-listed companies got eroded to Rs 134.38 lakh crore in the initial trades, data available with BSE suggested.
It is against a market value of Rs 1,38,39,750 crore, the BSE listed companies commanded on Wednesday, and a high of Rs 1,59,34,696 crore they enjoyed on August 30.
Today, the domestic stocks plunged in line with Asian shares which fell up to 5 per cent, tracking n overnight fall in US stocks. Technical charts too were indicating a negative outlook despite Wednesday’s rise in the domestic market.
It was seen that the NSE Nifty index was trading 307 points down at 10154, while BSE Sensex was down 1029 points at 33,732.
Out of entire Asian markets, Taiwan’s weighted index plunged 5.21 per cent. It was followed by Japan’s Nikkei, Korea’s Kospi and Shanghai Composite.
The S&P500 index suffered its biggest one-day fall since February as technology shares tumbled on fears of slowing demand in overnight trade. The S&P technology sector dropped 4.8 per cent, with Apple Inc down 4.6 percent, Reuters reported.