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Major fall in Indian stock Market


Today, Bombay Stock Exchange (BSE) saw fall of 363 points and it closed at 17506. National Stock Exchange saw fall of 108 points and it closed at 5257. This is a major crash in Indian stock market which shows decreasing trust of investors on stock market. In last few days, Indian stock market has seen constant decrease because of bad economical results, increasing crude oil prices and global pressure.

This trend is likely to continue for coming few months unless we see recovery in major sectors of economy. Many countries of world are facing acute economical crisis and it is very hard for India to sustain high economical growth in this scenario. Most of world is affected by inflation, unemployment, poverty; thus in such atmosphere it is near to impossible to sustain a good growth because industries can only sell their items or services to people who are capable of buying them.

It is becoming costlier and costlier day by day to get loan because governments want to control inflation; however, this act is also decreasing purchasing power of people. Crude oil is above $100 per barrel which is another cause of concern for India because we import most of oil from world. A good monsoon can provide some relief to economic growth; however, at present it is too early to say anything. Overall, it looks that time is not fine to invest in stock market or investors need to pick individual shares for investments.

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