Sensex Falls 2,400 Points: ₹7 Lakh Crore Wealth Lost In Market Selloff

Mumbai: India’s stock markets have witnessed a sharp downturn over three consecutive trading sessions, with the benchmark indices recording significant losses, as reported by Mint. The BSE Sensex has fallen by around 2,400 points during this period, while the Nifty 50 has also declined notably, reflecting widespread selling pressure across sectors.

According to Mint, the recent sell-off has led to a substantial erosion in investor wealth, estimated at approximately ₹7 lakh crore. The decline has been driven by a mix of global and domestic factors that have negatively impacted market sentiment and triggered cautious behaviour among investors.

One of the key reasons behind the downturn is the rise in global uncertainties, including geopolitical tensions and their impact on crude oil prices. Higher oil prices tend to increase inflationary concerns for an import-dependent economy like India, thereby weighing on equities. 

Mint also highlighted that continued selling by foreign institutional investors (FIIs) has added to the pressure on markets. Persistent outflows from overseas investors have reduced liquidity and contributed to the downward momentum in stock prices.

Additionally, weakness in certain heavyweight sectors, particularly information technology stocks, has further dragged the indices lower. Broader market sentiment has also been affected by concerns around global economic growth and cautious investor positioning amid ongoing uncertainties. 

The report noted that the sell-off has been broad-based, with multiple sectors witnessing declines, indicating a lack of strong buying support in the market. Investors have become more risk-averse, preferring to stay cautious amid fluctuating global cues and market volatility.

Despite the recent correction, analysts suggest that such phases are not uncommon in equity markets, especially when external and macroeconomic factors influence investor sentiment. Mint emphasised that market movements remain closely tied to global developments and investor confidence, which will continue to shape trends in the near term.

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