The Indian stock market faced a four-day downturn, with Nifty 50 and BSE Sensex experiencing significant drops. Experts attribute this to five main factors. Firstly, the prolonged Israel-Hamas conflict, now in its 17th day, has introduced uncertainty for investors. Secondly, the strong US dollar, persisting above 106, has impacted equity markets.
Thirdly, rising crude oil prices due to the conflict may lead to inflationary pressure. Additionally, Foreign Institutional Investors (FIIs) have been consistently selling in the Indian equity market, potentially reallocating investments. Lastly, Q2 results of Indian companies have fallen below market expectations, affecting overall market sentiment. These combined elements have contributed to the recent market decline.