Several factors can contribute to the decline of chemical stocks in India, including:
• Global economic slowdown: A slowdown in global economic growth can dampen demand for chemicals, impacting Indian companies' export potential and profitability.
• Fluctuations in raw material prices: Volatile crude oil and other raw material prices can squeeze margins for chemical companies, leading to stock price declines.
• Changes in government policies: Regulatory changes or policy uncertainties can affect investor sentiment and lead to short-term stock price corrections.
•Company-specific issues: Internal factors like operational challenges, management concerns, or financial performance issues can also trigger stock price drops for individual companies.