HIGH VOLATILITY IN INDIAN MARKETS 2024!

INTRODUCTION

so this is the beginning of August 2024 and in June INDIA experienced high volatility and trending markets, well it’s not just in INDIA but in the USA as well, since the USA holds the reserve currency and holding it takes some decisions which has to be carry forwarded by each country.

All markets are facing high volatility due to uncertainty in a rise in Interest rate which was very slow in 2023 and the Interest rate cut which is very slow, which has impacted global conditions very drastically.

FACTORS AFFECTING THE VOLATILITY IN INDIAN MARKETS-

1. INDIAN MARKETS FACING UNCERTAINTY– Markets facing sluggish movement in the year 2023 and then suddenly everyone observed the uncertainty as the prices of stocks moved way beyond their natural movement.
2. DELAY IN RATE CUTS – When there was hyperinflation in 2021-2022 as a result the FED was supposed to increase REPO rates and the decision was taken very slowly currently it took a very long time to cut the rates on reserve currency which affected the volatility of the market.
3. GLOBAL MARKETS CORRECTION IMPACT– After 2008, there is no market correction ( unless you consider COVID to be one ) and every great investor is forecasting the global market to go down and have a correction starting from ROBERT.T.KIYOSAKI. Everyone observed the market downfall in JAPAN, Taiwan, and the USA due to the huge debt bubble.
4. CIVIL WAR AMONG NEIGHBOURING COUNTRIES– Currently every single person is observing internal conflicts within their family which is rising among neighbors and making it a conflicting society that is changing its state and then finally the country. When two or more neighboring countries disagree on any topic then there is no possibility of Law in order among countries only one thing is possible which is war. Since we are on the brink of a third world war that too makes an impact on markets hugely.
5. RISE IN TAX RATES – Over a period of 3-4 decades we are observing changes in tax plans continuously on different assets which is igniting investors to move to foreign countries and this news is making regular citizens panic in nature.

WELL WHAT SHOULD BE CHANGED?

Observing the Global Climate Era and the risk of downfall one thing can be approved in India we are observing high GDP growth but the per capita income is purely stagnated at a pivoted point and observing global powers ( USA & CHINA) it’s nowhere near it.

if as a whole nation, we want to improve ourselves and our future then the main reason why this entire thing starts is called EDUCATION if the factor of education gets resolved in India then it will generate the biggest growth among all nations.

the education system in India is the main reason students are getting educated but just with information, their execution skills remain zero which results in less knowledge and high unemployment coming into the picture.

A student is investing their first 14 years studying all those backdated concepts and theories which is no longer available in the upcoming world, starting with the teachers even if they’re getting backdated over time.

the age we are about to face and the upcoming youths will face is the A. I ( artificial intelligence) era – one thing will be confirmed if this level of education continues then the upcoming generation will be under a huge dwarf.

CONCLUSION

if the basics of our nation are improved then there is a strong possibility of INDIA’s infinite growth and talking about market volatility we discussed above some reasons for the volatility.

but one thing all this is a theory anyone can be wrong, as we have seen in the markets people do get wrong by trying to predict the markets every time, so the only way to get it right is not to predict it, but to stay prepared for it.