The national and Mumbai stock exchanges started trading lower this morning due to various factors including international factors and inflation.
The unfavorable trend in the international market is reflected in the Indian and Asian stock markets. The war between Russia and Ukraine does not seem to be coming to an end.
Thus the continuing rise in crude oil prices is causing a major crisis for countries with emerging economies.
Rising crude oil prices
Rising crude oil prices are preventing developing countries, especially India, from recovering from the grip of the corona.
Goldman Sachs, an international company, has warned that rising crude oil prices could accelerate India’s economic growth and help the economy recover from the downturn.
Apart from this, the country’s inflation continues to rise and the RBI raising interest rates to control it is causing fear among investors.
The US Federal Reserve is also raising interest rates to control inflation in their country. This has led to an increase in the return of investment by foreign investors from the Indian market.
It is also causing a crisis for the Indian rupee against the dollar, causing the stock market to plummet.
The Asian markets of Seoul, Hong Kong and Tokyo also started trading lower today. The repercussions are coming from the Indian market as well.
The morning trade on the Bombay Stock Exchange was down 1100 points at 53,182 points. At the National Stock Exchange, the Nifty was down 305 points at 15,934.
All the 30 stocks in the Mumbai Stock Exchange started with declines. Shares of Tata Steel, Tech Mahindra, Wipro, Bajaj Twins, Infosys, SBI, HCL Tech and Axis Bank were down.
Shares of Hindalco, JSW Steel, Adani Port and Tata Motors were down in the Nifty. Shares of information technology, metals and public sector banking fell in the Nifty. Shares of the media, financial services, banks and the automobile sector also declined