BSE Sensex Plunges Over 1,100 Points; Nifty50 Falls Below 23,100

Stock Market Crash Today: Sensex Tanks Over 1,100 Points, Nifty50 Falls Below 23,100

The Indian stock market continued to fall for the fifth day in a row on Tuesday. The BSE Sensex dropped more than 1,100 points, while the Nifty50 went below 23,100. By 1:15 PM, the Sensex was trading at 76,177.65, down 1,134 points (1.47%). The Nifty50 was at 23,061.25, down 320 points (1.37%).

The market decline was mainly due to weak global market conditions, with private bank and auto stocks facing the biggest losses. Midcap and smallcap stocks performed even worse, as the Nifty Midcap 100 fell over 3% and the Nifty Smallcap 100 dropped 4%.

The total market value of companies listed on the BSE fell by Rs 9.68 lakh crore, reducing it to Rs 408.88 lakh crore around 1 PM.

Reasons for the Decline

The Sensex and Nifty have fallen about 1.5% over the past four sessions. This is due to uncertainty over US trade policies and foreign investors selling their shares. The Indian rupee also hit an all-time low on Monday after US President Donald Trump announced new tariffs, strengthening the US dollar.

Trump imposed a 25% tariff on steel and aluminum imports without any exceptions, raising fears of a trade war. He also hinted at more tariffs on goods from other countries soon.

Top Gainers and Losers

Among the Sensex companies, Power Grid, Zomato, Tata Motors, UltraTech Cement, and Bajaj Finserv saw significant losses. However, Infosys, Maruti, HCL Tech, and Axis Bank managed to gain.

Sectors like auto, media, pharma, public sector banks, healthcare, and oil & gas fell between 1% and 1.5%.

Nykaa’s shares rose by 3% after the company reported a 61% jump in profit to Rs 26.12 crore and a 27% increase in revenue to Rs 2,267 crore. On the other hand, Eicher Motors dropped 6.8% after its quarterly results, leading Goldman Sachs to cut its target price to Rs 5,900.

Market Trends and Expert Opinions

Large companies (largecaps) are performing better than smaller companies (midcaps and smallcaps) in this bearish phase. While the Nifty Midcap and Smallcap indices are down 8.6% and 11.3% this year, the Nifty is down just 1.52%. Experts believe this trend will continue.

According to V.K. Vijayakumar from Geojit Financial Services, foreign investors (FIIs) are heavily selling largecap stocks, making them fairly priced. However, midcaps and smallcaps are still overpriced. He expects FIIs to return as buyers when the US dollar weakens.

Aakash Shah from Choice Broking noted that the Nifty is showing a negative trend. The index faces strong resistance at 23,460, and if it breaks this level, it could rise to 23,550 or 23,700. On the downside, 23,260 is a key support level. Falling below this could push the index towards 23,000.

Global Market Impact

Asian markets were weak, with MSCI Asia (excluding Japan) falling 0.3% after Trump’s tariff announcements. In contrast, US markets closed higher, led by gains in the energy and technology sectors. The S&P 500’s materials index rose 0.5%, supported by steel companies like Nucor and Steel Dynamics.

Investors are now waiting for US Federal Reserve Chair Jerome Powell’s speech. Markets expect interest rates to stay the same in March, with a possible rate cut later in the year.

Other Key Updates

• On February 10, foreign investors sold shares worth Rs 2,463 crore, while domestic investors bought shares worth Rs 1,515 crore.
• Oil prices were stable. Brent crude was at $75.98 per barrel, and US WTI crude at $72.37.
• The Indian rupee strengthened by 10 paise against the US dollar, trading at 87.35. The US dollar index rose slightly to 108.4.

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