Kamal Ghorui
Stock market crash today: Nifty50 and BSE Sensex crashed in opening trade on Thursday after the US Federal Reserve kept policy rates unchanged and oil prices rose above $110 per barrel. While Nifty50 went below 23,300, BSE Sensex was down over 1,600 points. At 9:16 AM, Nifty50 was trading at 23,277.35, down 500 points or 2.10%. BSE Sensex was at 75,072.24, down 1,632 points or 2.13%.Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited says, “The uncertainty surrounding the war has turned worse with Israel hitting the world’s largest LNG refinery in Iran. Brent crude has shot up to $111. This is bad news for oil and gas importers like India. If Brent remains above $110 for an extended period of time, that will have negative implications for India’s macros. India’s GDP growth and corporate earnings in FY27, too, will be impacted. But this scenario need not play out in the fast changing scenario. A prolonged war is no one’s interest. Therefore, a sudden end to the war bringing crude prices sharply down cannot be ruled out. The market has been exceedingly volatile in response to developments on the war front and crude prices. The last three days of recovery in the market is likely to be wiped out if the war escalation continues.”Indian equity benchmarks ended higher on Wednesday, extending their gains through the trading session, even as global markets signalled caution amid rising geopolitical tensions and firming oil prices.However, Wall Street closed sharply lower on Wednesday after the US Federal Reserve kept interest rates unchanged and indicated just one rate cut for the year, as policymakers assessed risks stemming from elevated oil prices and the ongoing US and Israeli conflict with Iran.Asian markets also came under pressure in early Thursday trade, tracking the weak cues from the United States and reacting to fresh attacks on critical energy infrastructure in the Middle East, which pushed oil prices higher.On the institutional front, foreign portfolio investors remained net sellers, offloading equities worth Rs 2,714 crore on Wednesday. In contrast, domestic institutional investors provided support to the market, purchasing shares worth Rs 3,253 crore.(Disclaimer: Recommendations and views on the stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India)
