Stock Market Crash News: Following heavy Wall Street selloffs, Asian equities fell on Friday as traders responded to mixed economic data, more details on US tariffs, and dismal Nvidia Corp. earnings. Let’s analyze the current stock market crash news with respect to possible reasons behind that.
Stock Market Crash News: Why is the stock market falling?
Although S&P 500 futures had not changed much from yesterday, futures for the Tokyo time Hang Seng increased by 0.2%. The Topix in Japan dropped 1.7%. The S&P/ASX 200 in Australia dropped 0.9%. Futures for the Euro Stoxx 50 dropped 0.8%, and in the case of India, the Sensex and Nifty also showed a downward trend due to losses in the IT and banking sectors.
The major indices had a dramatic reversal in the past week, with the Sensex down more than 2000 points and the Nifty closing about 3% down. All of the main sectoral indices showed increased profit booking across all sectors, with the IT and Capital Market indices experiencing the biggest corrections. In contrast to the IT index, which fell 7.90 percent, the Capital Market index fell 9.28 percent. The market fell below 22,500/74500 over the week, and selling pressure increased following the collapse.
Stock Market Crash News: Repercussions
In terms of technical analysis, the impact that has been created is a bearish effect on charts (weekly) and is currently maintaining a lower top formation on intraday and daily charts, both of which are primarily negative.
Moreover, reversing December’s inflows, foreign portfolio investors withdrew Rs. 1.13 lakh Cr. from stocks in India (2025). This selloff, which has been fueled by high valuations and worldwide concerns, has occurred at the same time that benchmark indices have dropped 6% so far this year.
Stock Market Crash News: Major Highlights
On February 28, 2025, at 3 p.m., 607 stocks were up on the BSE, compared to 3,351 that were down and 95 that were unchanged. Around 4,053 equities were traded in total. There were 882 stocks that experienced a 52-week low and 48 stocks that reached a 52-week high. The upper circuit saw 89 stock trades, while the lower circuit saw 469.
In a recent analysis titled “Greed & Fear,” Jefferies stated that the Indian stocks sell-off is mostly technical in origin and shows numerous compressions rather than any significant macro issue. Because small and mid-cap companies saw a larger loss with significantly higher multiples, the sell-off was more disappointing than it was for the Nifty benchmark index.
Final Verdict
Although the stock market crash news has taken investors on a fear trail, the underlying hypothesis of GREED & Fear is that the sell-off in India is mostly technical in character, showing numerous compressions rather than any significant macro difficulties, for the first time since the stock market began to correct appropriately. Thus, investors should not worry about this market crash and rather consider it just another storm before the actual yields.
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