Stock Market Crash Today Reasons: Stock market indices Sensex and Nifty declined 2 per cent on Thursday (April 2) after US President Donald Trump said that the military actions against Iran will increase over the next 2-3 weeks. The Sensex index crashed more than 1,400 points, or 1.96 per cent, to 71,700.60. The 50-share NSE Nifty lost 445.70 points, or 1.97 per cent, to 22,233.70 in the morning trade.

Today's crash has wiped out more than Rs 10 lakh crore from the Street at one pint of time. The BSE's market capitalisation stood at Rs 4,15,78,603.62 crore.

Stock Market Crash: Key Reasons

Middle East War: Trump's comment that 'we are going to hit Iran extremely hard in the next two to three weeks' has dented the market sentiments. Investors have reacted negatively to the latest remark made the President.

Oil Price, Bond Yield: Brent crude spiked around 5 per cent to USD 105, and the US 10-year bond yield again firmed up to 4.36 per cent, negatively impacting the equities.

"The high crude price, the widening trade deficit, the fear of declining remittances and sustained FPI selling are acting cumulatively to put high pressure on the rupee, which continues to decline despite RBI's decisions on restrictions on dollar futures deals," VK Vijayakumar of Geojit said.

FII Selling: Foreign Institutional Investors (FIIs) are continuously selling in India. On Wednesday, FIIs offloaded equities worth Rs 8,331.15 crore. Domestic Institutional Investors (DIIs), however, bought stocks worth Rs 7,171.80 crore.

Global Markets (Stock Market Crash): Meanwhile, Indian markets moves lower in line with selling in the Asian peers. South Korea's Kospi lost 4 per cent, while Japan's Nikkei 225 index was down 2.2. Hong Kong's Hang Seng fell 1.04 per cent.