Wiped $ 1 trillion! Indian Stock Market Crash reduces its share in global market cap

India’s share of global equity market value is 3%, showing a significant decrease from the highest point of over 4%. (AI image)

What does it fall! BSE Sensex and Nifty50 have sinking to a large extent from their lifetime peaks in a case of a few months. According to a report by Bloomberg, Indian stock market The market price has declined over $ 1 trillion over the last four months! This has reduced the share of market capitalization worldwide in India.
The report stated that based on the 20-day average calculation, India’s global equity market price is coming 3%, showing a significant decrease from the highest point of over 4% recorded in the previous year.
The Indian stock market has been an abnormally prolonged recession, with a decline of 16% from its peak – an improvement phase that has long been longer than the specific market adjustment outside the major global crises.
Historical data examining the previous examples (except the global financial crisis and Kovid -19) showing 20 previous examples of more than 10% of market reforms suggests that the standard reforms were average and usually resolved within 70 days, the ET report states.
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The current situation is different, with the Nifty 200 with an enough 16% reduction experience in 165 days, it has been established as one of the most important and expanded recession in recent market history.
This improvement is different from the decline of the previous market, which were mainly due to important global events. The current recession lacks a major external catalyst, which is different from the stresses related to American trade. Primary factor appears to appear domestic economic challenges, including poor corporate performance, high evaluation levels, and constant foreign institutional investors withdrawal.
What appeared in the form of a standard market adjustment initially developed into a constant decline, affecting both active traders and purchases and-hold investors.
Since September, the continuous decline in the Nifty, extending for about six months, represents an unusual pattern. This gradual but frequent recession presents a remarkable contrast to the previous extended bull market phase, which continued without experiencing a 5% decrease for 55 months.
The BSE100 companies, including the Bombay Stock Exchange include major and often trading firms, saw their revenue growth up to a third of the last calendar year 2023, while their net profit growth accelerated five times, performed successful cost management strategies.
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The analysis of BSE100 data by Financial Daily, which provides a comprehensive approach to India’s equity markets beyond Sensex, indicates considerable recession in industrial, service and consumer sectors.
These organizations recorded 9% increase in revenue and 32% increase in net profit during 2024, contrary to 25% sales growth and an increase in 7% profit in 2023.
“If BFSI is excluded, the overall development would be even moderate, while quoting the Chief Economist of Bank of Baroda. While the profit was high, it was largely high base effects, due to cost control by companies that include the cost of production, and marginal pay increase.”
According to Sabnavis, these organizations are estimated to give better collective results in the coming year.

Sensex Outlook: Worse?

Despite the recent global tariff struggles, Morgan Stanley maintained the Sensex launch at the end of his year of 105,000 points by December 2025. The team of Morgan Stanley, headed by Ridham Desai, recognized India as a ‘stock picker market’ and noted that India’s comparative earnings are improving, even considering estimates of consensus.
A separate analysis of Morgan Stanley suggests that India’s status with the minimum stake in global manufacturing exports, but adequate presence in export of services, can prove to be beneficial during international trade disputes.
Valuation is the most attractive since Kovid epidemic. The market has ignored the RBI policy axis and a strong budget from the government amidst other positive developments since the beginning of February. India’s low beta feature makes it an ideal market for an uncertain macro environment that is working with equities. Importantly, our emotion indicator is in a strong purchase area, ”says Desai’s report.
Global market turmoil: American equities also bleed
US equity markets have seen a decline of $ 4 trillion in market capitalization, which is entering the improvement sector with a decline of more than 10% of its December high. Economic uncertainties, recession concerns and enough decline from growing trade disputes trigger widespread sales, which erased a large amount of market value.
The technology sector has experienced the most decline. Tesla saw a single-day value erosion of $ 125 billion, while Apple and Nvidia each fell by about 5%. The technology component of S&P 500 declined by 4.3%. Additionally, the shares of Delta Air Lines declined by 14% after the announcement of profit estimates of the first quarter of the airline.