The Indian stock market has been facing a decline for the past several days due to political changes and changing or increasing tensions in the war situation. Even mutual funds and SIPs, considered excellent options for earning money in the stock market, are coming under pressure. The new situation is that crude oil prices are continuously rising due to a supply crisis. The root cause of the problem is the growing tension in West Asia. Simply put, the monthslong war between the US and Iran has affected the global crude oil and natural gas transactions from the Gulf countries. The entire world is experiencing price surges due to the supply shortage. Foreign investment is being forced to flee. Investors constantly worry about rising inflation in the market, which could lead to a recession. The profit rate of private sector companies is continuously decreasing. The weak quarterly results given by the Indian stock market have created panic among the foreign investors. The process of selling shares by the foreign investors is continuing. Even now, despite the confidence-building policies of the government and the Reserve Bank, the stock market is falling. The situation has somewhat improved in the last two weeks, selling has reduced a bit but remember, new investment is not coming. On the basis of this, the stock market figures are stagnate. If we look at the current figures, then foreign investors withdrew Rs. 35961 crores by selling in the month of September. The situation didn’t improve in October either. ₹48,056 crore has been withdrawn so far. July and August seem so far away, when foreign investors invested ₹20,000 crore in September and ₹29,362 crore in August. The maximum selling amounted to ₹1.66 lakh crore, and now the total has doubled. Certainly, domestic investors have supported the country’s government in such times. They haven’t reduced their investments, but have attempted to compensate by increasing them somewhat. One important thing is that our domestic investors have made a significant contribution to saving the Indian market. This is also because the government has been very lenient towards private investors. They are giving dominance to this sector under the guise of public foreign partnerships. For some reason, the rupee has become stuck with the upper echelons of Indian society. The poor are still waiting for it.
Foreign Investors Sell Off the Stock Market
