The Sensex is the primary stock market index of India, and it dropped by over 1,000 points on October 27th.
India’s main stock market index, the Sensex, dropped by over 1,000 points on October 27th. The drop came as a result of uncertainty in the global markets after US President Donald Trump threatened to impose a 10% tariff on all imports from China. While India is not directly affected by this development, its economy is closely linked to that of China. For instance, more than half of India’s exports go to China and Hong Kong alone. In fact, India’s exports have already been declining for months due to a slowdown in the Chinese economy.
Why did Sensex drop?
The Indian rupee also took a hit on October 27th after hitting an all-time low against the US dollar earlier in the month. The rupee has fallen by more than 3% since August 31st and has lost almost 20% since January 2018.
