The Indian stock market witnessed a significant downturn today as both the BSE Sensex and Nifty50 indices plummeted, with the Sensex dropping over 900 points and Nifty50 dipping below the 22,000 mark.
The sell-off was fueled by concerns over excessive valuations in the smallcap segment, driven by retail investor exuberance, prompting caution from market experts. Factors such as Sebi stress tests, unsustainable valuations, the Mahadev betting app case, leverage cuts, and profit booking for tax purposes contributed to the downward trend.