The Indian stock market has a number of failures to its credit in the Year 2011 and it can be rightly called as the worst year in the Indian share market History.
As you will see those statistics at the end of the year show up India as among the worst performers globally, particularly among Asian markets.
Indices | % Downfall (Corresponding Prvs year) |
Sensex | 25% |
Nifty | 25% |
Realty index | 52% |
Bank Nifty | 47% |
CNX IT index | 18% |
Oil & gas Index | 30% |
Auto Index | 20% |
Metal Index | 47% |
There have been several years in which the Indian stock market has performed poorly, but one of the worst years in recent history was 2008. The year 2008 was marked by the global financial crisis and the Indian stock market was heavily impacted by this. The benchmark index, the S&P BSE Sensex, fell by over 52% from January to December 2008, and many investors incurred significant losses.
The other worst years for Indian stock market are 2011 and 2018, where the Sensex dropped by around 25% in both the years.
The reasons for the poor performance in 2008 were the global financial crisis, the fall in commodity prices, high inflation, and a widening current account deficit. The Indian economy was also facing challenges such as high fiscal deficit, high inflation, and high interest rates.
It's important to note that the stock market is a forward-looking mechanism and the future performance can't be predicted based on the past performance. While the past performance can indicate the trend, it's not a guarantee for the future.