It all begin with the rising rates of prime mortgages defaults in the US, which is kind of a precursor to the recession, or the stress in the economy combined with the Ex-Feds comments that the US is heading towards recession.
The hike in Bank of Japans interest rates resulted into Yen carry trade reversal and the liquidity started going back to Japan that resulted into diminishing risk appetite across the asset classes including emerging market equities in India. As a result, the full brunt of global winds was felt on the Indian markets.
Details http://www.moneycontrol.com/india/n.../marketstorecove/market/stocks/article/269996
Regards,
Luckytrader
The hike in Bank of Japans interest rates resulted into Yen carry trade reversal and the liquidity started going back to Japan that resulted into diminishing risk appetite across the asset classes including emerging market equities in India. As a result, the full brunt of global winds was felt on the Indian markets.
Details http://www.moneycontrol.com/india/n.../marketstorecove/market/stocks/article/269996
Regards,
Luckytrader