economy of INDIA having a problem

India
March 5, 2007 9:24pm CST
economy is india is looking weak with market crashing everyday is it..please advise why is the market crashing so badly will it recover i heard correction is very good to the market but for a person now looking at 2months view has to pac k up and run away from markets is it..seniors please feel free to post ur view sirji
1 response
@tarachand (3895)
• India
7 Mar 07
Investments in equity markets generally fetch you good returns only if you consider staying invested over mid ot long term - that is 3 to 5 years plus. as far as the rise and fall of stock prices are concerned, market falls and corrections are inevitable in any economy. Your term that the Indian economy is weak is incorrect, the economy of the country is not comletely reflected by the fall of stock markets, whgich have happened on a far greater level and intesity, over longer periods of times in countries such as the US and japan and elsewhere in the world. Indian companies are doing quite well, their year on year performances are improving, market sentiments and more importantly profit booking by FII's are driving the markets down, but this is short term. If companies perform consistently as they have been doing so far and price of oil does not suddenly flare upwards, I don't see any reason why the market should fail to reach BSE Sensex levles of even 25000 over then next three to ten years.
• India
7 Mar 07
thank u tarachand ur reply has really boosted the hope in the sharemarket and i am sure it will help others too to hold on to thier stocks and come out in profit very soon thanks a ton and will be looking forward for ur comments on few good sectors in the market where u feel is it best bet at this time of the hour thank u once again tarachand