In the financial year 2024-25, there were different trends in two semophers in the domestic stock market. In the first half, the market performed brilliantly and the second half saw a huge decline and volatility in the market.
The Sensex rose about 15 percent in the first six months of the financial year. During this period, instability also remained low and the 30-share index ranged by 1 per cent or more during just 19 trading session. In contrast, the second half showed a completely different picture due to economic uncertainty, earning concerns and global challenges.
The Sensex declined by more than 10 per cent during the second half. Apart from this, the market also increased significantly and in about 26 business seasons, profit or loss was one per cent or more. The second half increased by 4 per cent in the first half in India VIX, the scale of market volatility and now it is at 13.3 levels.
The upheaval began in late September after the Sensex and Nifty arrived at all-time high levels. The rise in equity after the epidemic brought the prices to a high level, which did not stand due to weak income of companies in September and December quarters. Foreign portfolio investors (FPIs) further enhanced the fall. Out of the last six months, five months, he came in the role of pure selling.
Initially, the selling was due to re -investment of capital in China, in which the attractive evaluation of China and the incentive measures of the government there was a big hand. Donald Trump’s victory in the US presidential election also left the foreign capital market. The US bond yields increased due to the concerns of possible changes in the US trade policy and strengthened the dollar to draw their hands from emerging markets like India.
Investors also became uncomfortable due to the rapid imposition of trade fee after Donald Trump took charge and started considering safe options such as gold instead of risky assets. In the last six months, gold prices rose by 15.3 per cent and it rose to $ 3,038 an ounce while the dollar index increased by 2.7 per cent and increased to 103.5. 1
First Published – March 20, 2025 | 10:46 pm IST