Vikrant Shekhawat : Oct 26, 2024, 06:00 AM
Share Market Update: After the decline in the stock market during Kovid-19, both Sensex and Nifty are once again seeing a decline in the month of October. October is not over yet, but the Sensex has fallen by about 6% and Nifty by more than 6% this month. As a result of this decline, investors have suffered a total loss of Rs 36.37 lakh crore.Reasons for declineExperts believe that there are many reasons for this decline. The biggest reason is the withdrawal of money from the stock market by foreign investors, whose figure has reached above Rs 85 thousand crore. Many experts have also pointed out that the valuation of the stock market has increased a lot, which makes it clear that the market is overvalued and now it is returning to its real level.On the other hand, the financial results of companies are also contributing to this decline. Many companies have reported losses in the September quarter, the effect of which can be clearly seen on the stock market. Apart from this, the uncertainties of the upcoming US elections and the growing tension in the Middle East have also increased the concern of investors.Stock market situationRecently, the stock market witnessed a decline for the fifth consecutive day. The Bombay Stock Exchange's major index Sensex closed down 662.87 points (0.83%) at 79,402.29. During trading, at one time it had slipped 927.18 points to 79,137.98, but due to some buying in the last hour, the decline was reduced somewhat. In the last 5 days, the Sensex has fallen by 1,822.46 points (2.24%).At the same time, the National Stock Exchange's major index Nifty also closed down 218.60 points (0.90%) at 24,180.80. During trading, the Nifty also reached 24,073.90 points. Nifty has fallen by 673.25 points in the last 5 trading days.Assessment of decline in OctoberThe month of October is considered important in the period before Diwali, but this time a big decline has been seen in the stock market. After the Sensex closed at 84,299.78 points on the last trading day of last month, it has fallen by 4,897.49 points in October, that is, it has fallen by 5.81%. The situation of Nifty is also not much better, where its last figure of last month was 25,810.85 and now it has fallen by 1,630.05 points (6.32%).Heavy loss to investorsInvestors suffered huge losses on Friday. The market cap of BSE, which was earlier Rs 4,43,79,304.92 crore, fell to Rs 4,36,98,921.66 crore, causing a loss of Rs 6,80,383.26 crore to investors in a single day. In the last 5 trading days, overall investors have lost Rs 21,16,447.62 crore. In the month of October, this figure has increased to Rs 37,36,215.49 crore.Thus, the decline seen in the stock market in the month of October is considered to be the biggest decline since Covid-19. Now it will be interesting to see whether the market will be able to recover from this situation or there will be further decline. This is the time for investors to invest cautiously, as the clouds of uncertainty are still looming.