Want Bull Market Again : Act Together !
Daer Friends, Don't get confused by corrective rallies in current bear market! Let us accept the fact that we are in a bear market!
The long period of virtuous economic growth i.e. when one positive lead to another and thus creating a very positive environment of all round growth and prosperity, is over. This period resulted in appreciating asset prices i.e. rise in share prices and real estate valuations.
It is hard to believe but it is a reality that within a period of 6-7 months, things have changed altogether. Now, our economy has entered into a vicious circle of downtrend i.e. when one negative is leading to another and thus severely damaging our economy. How long this phase will go on? We don't know!
It is an accepted wisdom in investing to look at company's business, invest and have patience because share prices will adjust to fundamentals, sooner or later. The same is true for Stock Market as a whole. Take care of economy and market will adjust to fundamentals.
The rising crude oil prices is really damaging our economy. In fact, the global economy. If crude prices comes down to a reasonable level of say 80-100 dollar a barrel, then our economy will be again on high growth track and share market will start rising and after some time we may again see a bull market.
I have detailed about factors behind crude oil price rise alongwith a possible solution to bring oil prices down in my blog at :
www.Act4CommonGood.blogspot.com
Please visit my blog and trigger a collective action to restore bull market back by bringing down oil prices.
I would like to add, if oil prices does not come down then forget everything. No theory will work and we will definately have a long bear market. And, the sensex will be in four digits only. Of course, the fall could be gradual but continuous. I will like to remind our FM P.Chidambaram's statement in OPEC meeting last month "If oil prices does not come down, developing nations economies will loose all the gains made in recent past". And, we know that market adjusts to economic fundamentals eventually.
Daer Friends, Don't get confused by corrective rallies in current bear market! Let us accept the fact that we are in a bear market!
The long period of virtuous economic growth i.e. when one positive lead to another and thus creating a very positive environment of all round growth and prosperity, is over. This period resulted in appreciating asset prices i.e. rise in share prices and real estate valuations.
It is hard to believe but it is a reality that within a period of 6-7 months, things have changed altogether. Now, our economy has entered into a vicious circle of downtrend i.e. when one negative is leading to another and thus severely damaging our economy. How long this phase will go on? We don't know!
It is an accepted wisdom in investing to look at company's business, invest and have patience because share prices will adjust to fundamentals, sooner or later. The same is true for Stock Market as a whole. Take care of economy and market will adjust to fundamentals.
The rising crude oil prices is really damaging our economy. In fact, the global economy. If crude prices comes down to a reasonable level of say 80-100 dollar a barrel, then our economy will be again on high growth track and share market will start rising and after some time we may again see a bull market.
I have detailed about factors behind crude oil price rise alongwith a possible solution to bring oil prices down in my blog at :
www.Act4CommonGood.blogspot.com
Please visit my blog and trigger a collective action to restore bull market back by bringing down oil prices.
I would like to add, if oil prices does not come down then forget everything. No theory will work and we will definately have a long bear market. And, the sensex will be in four digits only. Of course, the fall could be gradual but continuous. I will like to remind our FM P.Chidambaram's statement in OPEC meeting last month "If oil prices does not come down, developing nations economies will loose all the gains made in recent past". And, we know that market adjusts to economic fundamentals eventually.
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