The Humpty-Dumpties that came tumbling down

Since past two days (Friday of the last week and Monday of this week), BSE Sensex has dropped by 750 points. There are some events taking place globally to which the Indian stock market has reacted adversely.

The US Federal Reserve's monetary policy and its decision to reduce its Balance Sheet from October 2017 has added to the geopolitical risks. A sharp depreciation of 1.6 per cent in the rupee was observed throughout the month of September, while a spike in bond yields of 14.1 bps was seen during the same period. Also, India’s GDP has slipped to a three-year low of 5.7 per cent for the quarter ended June 2017, which has aroused a sense of disappointment among investors. With the implementation of the GST from July this year, its compliance issues have caused some disruptions in the ongoing process.

Currently, it is seen that the bullish stock market is going through a correction mode. BSE Sensex had closed at the level of 32423.76 on September 18 and it has come down to the level of 31626.63 on September 25, 2017. We have gone through some stocks and have come with six such scrips that have been affected the most by this correction phase.
 

  
We can see these companies vary across market caps, belonging to small-cap, mid-cap and large-cap categories. Also, these are not confined to any particular sector. Companies across all sectors have been affected by this temporary correction mode.