Reason for falling the market

1071 views 5 replies

I bel due to sub-prime crisis and liquidity crisis market is falling?

 

Wats your view?

 

Regards

Amit Daga

 

Replies (5)
forein institutional investors play a major role in deciding the share price.i think these investors are playing a ame in the international markets.this might be the cause for fluctuations
I donโ€™t think that Sub Prime Crisis is hitting our market because Indian Stock markets are not directly related to sub prime though there is an indirect relation. Another reason is also failure of small investor to make full payment of shares which they had bought on margin money. Due to this, their brokers are selling off their shares. FII has also sold in the past week. All these things made the investor panic. But I see it as a great buying opportunity. There is nothing to panic. Long terms investor should not pull out money and please keep away from volatile stocks.
1FII are takings their money back. 2.due to decrease in the international market. 3.due to reliance power IPO 4.due to decrease in interest rate in America. 5.due to heavy fall in Reliance . 6.increase in primary market i.e.IPO
due to reliance IPO ,investors are taking out money from market and investing their money in reliance IPO. this situation will prevail for few more days but market will recover soon.
Reading the scattered views of other members, would like to summarise the reasons as follows: - Due to expected recession in US market, FII are withdrawing their funds frm emerging markets like India, China and investing into developed market which is considered as less risky then earlier ones. - Due to IPO flood in India at the moment, liquidity has been sucked by them therefore buying capacity is currently not available at the moment with the local investors (retail or corporate). - Having said that, due to US Fed rate cut, i expect a short growth in India maket in coming days. - In Febraury 2008, IPO's money will be flowing back to the investors in terms of refunds, which will also help in taking market again at a new hight.


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