Stock Market Bloodbath: Investors Lose Over ₹4.5 Lakh Crore in Just 90 Minutes; Sensex Drops 1,000+ Points

New Delhi: The Indian stock market continued its sharp decline on Wednesday, with both Sensex and Nifty tumbling in early trading. Investors saw over ₹4.5 lakh crore wiped out in just one and a half hours, marking the third consecutive day of heavy losses.

The markets initially opened on a positive note, but gains were short-lived. By 11 AM, the Sensex had dropped over 1,000 points, while Nifty fell nearly 300 points. Around 10:30 AM, Sensex was trading at 81,124.45, down 1,056 points, and Nifty 50 stood at 24,989.15, down 243 points.

Key Reasons Behind the Crash

1. Trump’s Greenland Remarks
   U.S. President Donald Trump’s controversial statement about buying Greenland and threats of renewed trade tensions with the European Union triggered sharp selling in Asian markets. Concerns over potential tariffs and a new global trade war led to widespread market pessimism.
2. Disappointing Corporate Earnings
   Poor quarterly results from major domestic companies such as Reliance Industries Limited and ICICI Bank failed to boost investor confidence. Underperformance in earnings led to concerns that stock valuations were disconnected from fundamentals. The IT index declined 1%, recording the largest sectoral drop.
3. Rupee Hits Record Low
   The Indian rupee slipped to 91.2950 per USD, breaching its previous record of 91.0750. Global uncertainties, coupled with concerns over the Greenland dispute and lack of a new India-U.S. trade deal, further pressured the currency and domestic equity markets.
4. Foreign Investors Sell-Off
   Continuous selling by Foreign Institutional Investors (FIIs) weakened market sentiment further. FIIs have net sold for eleven consecutive sessions, offloading nearly ₹2,938 crore worth of shares on Tuesday alone. While Domestic Institutional Investors (DIIs) provided some support, it was insufficient to halt the decline in benchmark indices.

Outlook
Experts caution that global geopolitical tensions, foreign capital outflows, and weak corporate earnings could continue to impact Indian markets in the near term. Investors are advised to remain cautious amid heightened volatility.