Indian Markets Nosedive: Dalal Street Sinks Over 4% Amid Global Uncertainty

• Jun 2, 2025

On April 7, 2025, Indian equity markets suffered a massive sell-off, wiping out over 4% from the leading indices. The BSE Sensex plummeted by more than 2,600 points, while the Nifty 50 dropped sharply below the 21,500 level, reflecting investor anxiety triggered by global economic jitters.

This steep decline is largely driven by a surge in US bond yields, inflation worries, and renewed concerns about a slowdown in the American economy. Geo-political instability, particularly in oil-producing regions, has led to spikes in crude prices, adding pressure to an already fragile sentiment.

Sectors like IT, banking, and real estate bore the brunt of the fall. Market giants including Reliance, Infosys, and HDFC Bank saw significant value erosion. Foreign Institutional Investors (FIIs) turned heavy sellers, accelerating the downtrend.

Market experts suggest that while such corrections can be nerve-wracking, they might also offer long-term entry points for patient investors. However, short-term participants should brace for continued volatility in the near term.