In what can only be termed as one big slump, Sensex fell by 1,624.51 points to close at 25,741.56 on Monday, turning out to be the biggest fall of all-time passing by the 2008 crash, as Rupee also went to fall to 66.67 per dollar.
I saw my colleague nervous, breaking out into peals of sweat as he was logging in to his demat account. It was a bad day. He clutched his temples with his palms, eyes bloodshot.
If you’re one of those people who has invested hard earned money in stocks and shares, today wouldn’t have been a great day for you. Amidst a few tumultuous weeks, responding to weak global cues and unstable Chinese market, the Indian stock market plummeted and plummeted like it had never done for a while.
As stock markets witnessed bloodbath on Monday, Sensex recorded a deep fall of over 1,624.51 points to close at 25,741.56—turning out to be the biggest fall of all-time passing by the 2008 crash.
At the same time Rupee also went to fall as rupee slumped to 66.67 per dollar on Monday, its lowest since September 2013.
Taking a bid of the situation Reserve Bank of India governor Raghuram Rajan said the central bank will not have any “hesitation” in using foreign exchange reserves to reduce currency volatility.
According to RBI chief $380 billion in forex reserves is to be used as and when the need arises.
In addition he said, “I wish to reassure the markets that our macroeconomic factors are under control as the economy is in a much better position relative many other economies.”
Biggest falls of all time
Following Monday’s biggest ever Sensex crash, here are some of big losses India witnessed in past:
January 21, 2008: Sensex plunged by 1,408.35 points — the biggest one-day loss so far — due to deepening global economic worries.
October 24, 2008: Sensex lost 1070.63 points after RBI lowered its GDP growth forecasts on global economic concerns.
March 17, 2008: Sensex dropped by 951.03 points on the global credit crisis and distress—sale of US banking major Bear Stearns.
March 3, 2008: The Sensex lost 900.84 points on concerns emanating from growing credit losses in the US.
July 6, 2009: The index plunged by 869.65 points on the day of Union Budget presentation in Parliament on concerns over high fiscal deficit. This was the biggest Budget-day loss for the Sensex.
February 11, 2008: The market benchmark lost 833.98 points on a day when Reliance Power fell below its IPO price in its debut trade after a high-profile public offer.
October 10, 2008: Sensex dropped by 800.51 points amid weak industrial production data and concerns over impact of global economic crisis on IT and banking firms in India.
March 13, 2008: The index plummeted by 770.63 points on global economic jitters.
January 7, 2009: The market barometer dropped by 749.05 points on a day when the Satyam fraud came to light.
March 31, 2008: The index shed 726.85 points after heavy selling in blue-chip stocks on global economic fears.
October 6, 2008: The index went spiralling down 724.62 points amid fears of the US recession and attempts by governments across the world to save their failing banks.
September 22, 2011: The Sensex lost 704 points on fresh fears of a global economic slowdown and a fall in rupee value to lowest in two years.