Factors behind global stock market crash.
                     FACTORS 
BEHIND 
GLOBAL STOCK 
MARKET CRASH
INTRODUCTION
• Investors were scrambling for cover at the 
Monday session when benchmark stock indexes 
plunged a sharp crash in the domestic markets. 
Source: www.business-standard.com
INTRADAY DEALS
• In intraday deals the S&P BSE Sensex lost 2.037 
percent, down to 44.923.08. 
• This measure, however, partly recovered and 
finished the day at the pace of 45,554 - 3% or 
1,407 points.
• Instead, the Nifty50 came to a conclusion at a 
level of 13,328, down 3.14%, or 432 points.
Source: www.businesstoday.com
COVID-19 IMPACT
• The decline was prompted by poor global signs 
and concerns of coronavirus recurrence following 
a recent strain in the UK (UK). 
Source: www.business-standard.com
LIQUIDITY
• Over the past few sessions, the indices have 
been on a winning spree, hitting record highs 
almost daily on the back of gush of liquidity from 
overseas investors.
Source: www.business-standard.com
GLOBAL STOCK MARKET CRASH
• The Indi VIX volatility index rose 24.52% to 
23.19 on Monday.
• The demand struggled to show resistance to 
remain above 13,750 thresholds of the Nifty 50. 
Source: www.thetrumpet.com
STOCK DISTRIBUTION
• Although pricing has continued to develop, the 
technical conditions shifted today after the sharp 
revision to encourage a further solution in the 
future. 
• Volatility has expanded in today’s session, 
indicating profit booking and stock distribution at 
a higher market level
Source: www.business-standard.com
FACTORS BEHIND MARKET 
CRASH
COVID-19 FEARS FOLLOWING 
NEW VIRUS STRAIN
• The UK Government announced on Saturday 
that more than half of the recent Covid-19 
infections were attributed to a mutant 
contagious tendency to coronavirus in many 
areas of the world, including London. 
• The market players are worried that this fresh 
tension from the virus could hamper the 
momentum of economic recovery and its 
consequent lockdowns and travel bans.
Source: www.business-standard.com
WEAK GLOBAL CUES
• The rapid spread of a new strain of coronavirus 
prompted a stronger lock-in in England and a 
ban on travel from several countries, while a 
Brexit trade pact was still on the balance.
• The UK FTSE was shed by 2.1%, Germany's DAX 
by 2.3% and the Europe-wide STOXX 600 index 
slid by 2.3%. Japanese Nikkei shed 0.40% in Asia 
and US futures dropped 0.60%, which means 
Wall Street is starting weakly.
Source: www.businesstoday.com
PROFIT-BOOKING
• With big liquidity, heavy inflows from outside 
funds and vaccine advances, domestic markets 
have risen by more than 14% since November. 
• However, in the vacation-shortening week and 
nearing the Q3FY21 benefit season, investors 
are shy of taking a firm stance on the market.
Source: www.invest19.com