The domino effect: Here's why markets crashed on election day

The domino effect: Here's why markets crashed on election day

Illustration: Sadhana Saxena via AI


On June 4, the markets opened with the news of the BJP's defeat in Uttar Pradesh and Maharashtra, sealing the fate of an eventful day for retail options buyers as well as smart options sellers and retail investors.

When the stock market falls, everyone falls. Some of the biggest crashes have nothing to do with earnings releases or interest rate changes. Random events (mostly global events) lead to massive declines. June 4th (the day the election results were announced) was one of those days when professional traders decided to stay out of the stock market. But some traders didn't. So what happened? Here's a timeline of the events that day.

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