New Delhi. The US bond yield hit a one-year high, causing a furore in the stock markets around the world. If we talk about India, the Sensex broke down by about 2000 points. While the Nifty also saw a decline of about 4 percent. The increase in bond yield is not only in the US but also in India. After August 2020, it has once again reached the highest level. At the same time, there is also an increase in PE ratios. On 17 February patrika.com Had told in its special news that the stock market may go down in March and April. Whose bond yields, PE ratios and dividend yields are to be high. Due to this decline in the market, market investors have incurred a loss of Rs 5.41 lakh crore.
Chaos in the stock market
Today the stock market has seen a big decline. The Bombay Stock Exchange’s main index Sensex has fallen by 1939.32 points to 49099.99 points. While the National Stock Exchange’s major index Nifty 50 fell by 568.20 points to close at 14529.15 points. BSE Small Cap is trading 149.63, BSE Mid-Cap 355.15 points and Foreign Investors Index CNX Midcap is down by 378.30 points.
Fall in sectoral index
The banking sector is witnessing a big decline. Bank Exchange 1995.84 and Bank Nifty is trading at 1745.40 points. BSE Auto 733.14, Capital Goods 606.24, Consumer Durables 422.60, BSE FMCG 187.17, BSE Healthcare 326.09, BSE IT 564.85, BSE Metal 376.95, Oil & Gas 600.89, BSE PSU 236.10 and BSE Tech were down by 299.44 points.
The decline has come due to these reasons
According to stock market expert Rajneesh Khosla, the bond yield, dividend yield and PE ratio have reached the historical level. Currently the bond yield is at 6.23 level. While the earnings ratio peaked at +41.2. At the same time, the dividend yield has come down to 1.04. According to Rajneesh Khosla, whenever all three are at high altitude, there is a decline in the market. According to Rajnish Khosla’s estimates, the stock market could see a correction of 10 per cent in March and April.