After 9 years, there was a great fear in the market, there was not so much fear even during Corona, lower circuit in 500 shares

New Delhi. Monday was a nightmare for the stock market. Selling was seen in all the markets of the world including European and Asian markets. How could the Indian stock market remain untouched by it? Sensex has fallen by more than 2200 points and Nifty50 has fallen by about 700 points. The possibility of war in the Middle East and the fear of the decision of the US Fed weighed heavily on the Indian markets. Today, such a great fear was seen in the stock market, which was seen 9 years ago.

India VIX is called the meter of fear in the stock market. It is an indicator that measures the fear prevailing in the market. The higher it is, the greater are the chances of a fall in the market. If it is below it, it is considered a sign of the stock market calming down or slowly going up. On Monday, it jumped 52 percent in a single day. Earlier, a similar scene was created in 2015. Even during Corona, the market fell very fast, but VIX did not jump so much in a single day.

Also read – Market fell due to recession and threat of war, high-profile shares crashed, is this the right time to invest money?

On Monday, the India VIX surged 52% to cross the 20 mark, the biggest single-day surge for the index since August 2015. “This week is going to be tough. And global markets are telling us that it would be better to focus on stock specific activity within our markets,” said market expert Prakash Dewan.

Lower circuit imposed in 500 stocks
Some of the BSE 500 stocks hit their lower circuit limits in Monday’s trade. These include big names like Reliance Power Limited, Jaiprakash Power Ventures Limited (JP Power), Cochin Shipyard Limited, Garden Reach Shipbuilders and Engineers Limited (GRSE), Wari Renewable Technologies Limited and Swan Energy Limited.

It is believed that a delay in cutting the Federal interest rates will lead to a recession in the US and may lead to withdrawal of money from abroad. Amidst this fear, all the indices were seen trading in red, with the midcap and smallcap indices falling by up to 4 percent.

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