Friday 30 August 2013

MARKET PLUNGES - VALUE OF CURRENCY AFFECTED


                                           KALYAN KUMAR MAHATA (APU) 


NEWS ON THE STAND - THE SHARE MARKET INDEX IS FACING A HURDLE TO COMPETE IN THE GLOBAL MARKET. AS A RESULT THE PRICE OF INDIAN CURRENCY RUPEE IS TO TACKLE WITH US DOLLAR, EU EURO, YEN , POUND ETC. THE EXCHANGE VALUE OF INDIAN MONEY IS TAKING A BIG CHALLENGE. THIS IS VERY COMMON FEATURE IN WORLD ECONOMY WHERE THE MARKET INDEX CHANGE DAY TO DAY. BUT THE MOST SERIOUS MATTER IS THAT THE DIFFERENCE BETWEEN INDIAN CURRENCY AND US DOLLAR IS INCREASING WHILE THE TOTAL POINTS OF INDIAN MARKET INDEX SENSEX , NIFTY EXPAND WITH A RELIABLE STANDARD OF MARKS. 
IN COMPARISON WITH VARIOUS MARKET IN ABROAD THE STANDARD MARKET INDEX OF THE SAME ARE NOT GROWING MUCH BIGGER. THOUGH THE ECONOMIC STATUS IS NOT DECREASING. WHERE AS IN THE BIG MARKET LIKE INDIA THE POINTS ARE EVOLVING AS COMMODITY PRICES ARE ALSO RISING. 
A QUESTION IN THIS ASPECT IS GROWN IN MIND ARE THE EXPAND OF THE SHARE MARKET INFLUENCED BY THE PER- CAPITA INCOME OF THE CITIZEN THAT IS WHY THEY CAN AFFORD MORE GOODS. 
IF THE PRICE OF A COMMON VEGETABLE ONION IS HIGH THAN THAT OF IT DESERVES. THE ESSENTIAL PART OF INDIAN CURRY IS ONION. IT CONTROLS THE BAZZAR LIKE THE PRICE VALUE OF PETROL AND DIESEL. THE LOSS OF FARMERS' EFFORT TO GROW THE CROP  DURING THE CULTIVATION IS NO DOUBT A MATTER OF FACT. BUT THE WHOLESALE MARKET ALSO CONSUMES  ITS FUTURE STOCKS FOR THE DEMAND  OF THE CONSUMER IN THE COMING PERIOD. AS IF THE SUPPLY DOES NOT IMPACT IN THE MARKET.
THE RAIN EFFECTS THE SHARE PRODUCTS' VALUE. THERE IS  HEAVY RAIN  IN MANY PARTS OF THE COUNTRY . NOWADAYS MONEY IS ALSO GROWING AS A TOTAL ECONOMIC WEALTH,  VALUE OF RUPEE IS ALSO MOVING NOT REMAINING IN STATIC. IS IT A FAILURE OF INDIAN ECONOMIC ? CAN INDIA NOT ABLE TO COMPETE TO OTHER COUNTRY ? WHILE THE TOTAL POWER OF SENSEX AND NIFTY HAVE BEEN ESTABLISHED IN BETTER POSITION.  THE OTHER DIFFERENT STANDARD INDEX IN ABROAD ARE NOT GETTING MUCH GAIN IN RESPECT TO    POINTS BUT THE PRICE VALUE OF CURRENCY IS MAINTAINING A COMMENDABLE POSITION LIKE DOW JONES, NIKKEI, DAX, S&P, FTSE ETC.
SO HOW  INDIAN ECONOMIC WEALTH WILL BE STRONG TO RETAIN THE VALUE OF RUPEE IN A MARGINAL GOOD POSITION ?

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