The recent stock market crash is one of the first instances of a global collapse of equity valuations caused by a public health emergency.
India’s benchmark indices have also moderated significantly. Mint explores the collapse of capital markets in India. What are the factors behind the collapse? The extent of the spread of covid-19, combined with a high death rate, has resulted in an unprecedented situation of lockdowns being imposed across the world.
Such lockdowns on a global scale, with no economic activity or value addition taking place across key economic sectors, are unique.
This has led to equity investors facing a problem of identifying which businesses would be able to survive the lockdown. Consequently, there is a lot of fear
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