REASONS BEHIND BIGGEST EVER FALL OF MARKET ON 12TH MARCH 2020.

The bloodbath on Dalal Street intensified on Thursday with benchmark indices entering into the bear market and logging their worst ever decline in absolute terms. 

Sensex and Nifty joined the global market rout following the US travel ban on European countries and World Health Organization (WHO) declaration of coronavirus as a pandemic. 

BSE’s 30-share Sensex nosedived a record 2,919 points or 8.18 per cent to close at 32,778, while NSE’s 50-share Nifty ended at 9,590, down 868 points or 8.30 per cent. It was the lowest close for Sensex since March 23, 2018 and for Nifty since June 30, 2017. Nifty declined most since October 24, 2008 in percentage terms.

The carnage wiped off Rs 11.28 lakh crore in market capitalisation on the BSE. 

Volatility index, India VIX, witnessed a sharp surge of 30.43 per cent and headed towards the 42 mark, the highest level since 2009. 

On Wednesday, the United States said it will suspend all passenger travel from Europe, except the UK, on Friday for the next 30 days to stop the spread of coronavirus.

Foreign institutional investors (FIIs) have continued selling Indian stocks. In March alone, they have withdrawn a net Rs 20,831 crore from domestic markets

Since February 24, FIIs have been net sellers every day, as per NSE data.

So this are the reasons behind fall of market hope this information is helpful.