Share Market News / Market crashes, investors worried! Will the boom return or will the market fall further?

The Indian stock market saw a surge in September, but the Nifty 50 has now fallen 13%. Trump's tariff policies, macroeconomic uncertainty, foreign investors selling, small investors panicking and rupee weakness are affecting the market. Experts are expecting a recovery, but the chances of a bull run are low.

Share Market News: When the Indian stock market reached new heights in September, experts predicted that the Nifty 50 could soon touch 28,000 points. But the reality turned out to be different. Now the Nifty 50 has fallen 13% from its highest level. Investors are worried and uncertainty remains in the market. Let's know the major factors that are responsible for this decline.

1. Global trade tensions

US trade policies and tariff disputes have shaken the global markets. New tariffs and trade restrictions imposed by the US have weakened foreign investor sentiment, which has also affected the Indian market.

2. Economic slowdown and weak growth rate

The Indian economy is witnessing slow growth. Weak industrial production, declining consumer spending, and slow investment pace have limited the market prospects. Growth is expected to be 6.4% in the coming financial year, making investors cautious.

3. Foreign investors' selling

Foreign institutional investors (FIIs) have sold heavily in Indian stocks in the last few months. Due to rising US bond yields and strengthening of the dollar, foreign investors are withdrawing capital from the Indian market, which has increased the pressure on the market.

4. Retail investors' panic

The fall in mid-cap and small-cap stocks has increased panic among retail investors. If the support of domestic investors weakens and they also start selling, the market may go down further.

5. Rupee weakness

The falling value of the rupee is also a cause of concern. A weak rupee can affect foreign investment and this can keep the Indian stock market under pressure.

Is recovery possible?

Experts believe that the market has reached the oversold zone, making some recovery possible in the near future. However, a new bull run is unlikely to start soon. Investors need to be cautious and take a long-term view.