North India Statesman
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Donald Trump’s fee threats have created a stir in the global markets. India is also not untouched by this, but the reason for the decline in the market here is not only the decisions of the US President, but also many other reasons. Millions of small investors have been affected for various reasons.
Foamo increased the passion for investment
Kanishka (name changed) began investing in the stock market due to foam (Fear of Missing Out). After seeing advertisements related to investment on social media during the epidemic, he also wanted to earn fast money. Kanishka first invested in mutual funds and then started trading in the stock market, although he did not have the basic information of investment.
Stock market surge during epidemic
The stories of Saloni Pooj and Ishaan Shah are also similar. During the lockdown, he started investing in the stock market and made good profit in the initial days. Shah said that he used to buy stocks on the recommendations of others and always benefited strangely. Pooj took some caution, but in September 2024, he suffered losses as soon as the market fell.
Retail investors emergence in the market
After Kovid-19, the number of retail investors in the Indian stock market increased. The popularity of 2020 Economic Incentive Package and online trading platforms made the market easy to invest. From March 2020 to March 2024, the number of investors registered in India increased three times to 9.2 million.
Due to the decline in the market
Since September 2024, the Indian stock markets declined by $ 1.2 lakh crore. The Nifty 50 index fell 16% from its highest level. The main reason for this was the increasing evaluation of corporate companies and their decreasing income. In addition, foreign investors withdraw capital from India and put it in other markets like China, which led to a decline in the market.
Lesson for small investors
Investors like Kanishka, Shah and Pooj have seen difficult times in the last months. Now they have become more alert and are not relying on social media investment suggestions. Shah quit trading, while Pooj began to focus on risk management.
Trump’s policies
Trump’s threat to impose a fee on India led to the instability in the market. However, some experts consider it an opportunity to improve it for India. Investors are now being more vigilant and focusing on long -term strategies.
