Lucknow Stock：The total market value of Indian stock market innovation is close to 4 trillion US dollars ranks 4 trillion US dollars in the world 4
From: Indian Fund News
The Indian stock market has a new high.
On December 4, under the promotion of the ruling party in the state election, the financial and energy stocks made the Indian stock market a new historical record on Monday.Earlier, the slowdown of strong macroeconomic data and global interest rate expectations had boosted the Indian market.
As of the closing on the 4th, the total market value of the Indian stock market reached 3.56 trillion US dollars, ranking fourth in the world.The results of the weekend election show that the Indian ruling party of the Indian Party (BJP) has achieved key victory in the three states of the four state parliamentary elections, which is conducive to Modi’s election in the May of next year to strive for re -election.In addition, strong macroeconomic data, as well as constantly improving global environment to help the Indian stock market continue to rise.
It is reported that the market value of the Indian stock market is only one step away from the unprecedented $ 4 trillion market value.Since the low epidemic in March 2020, the market value of securities listed on the Exchange in India has doubled to $ 3.93 trillion as of Friday.The Indian National Exchange’s Nifty 50 Index climbed to a record high that day.The Nifty50 Index rose nearly 14%this year.Lucknow Stock
Why is the Indian stock market hit high?
Research report previously analyzed that from the perspective of economic foundation and industrial institutions, India has given priority to the development of the tertiary industry and attracted a large number of FDI inflows in the form of service outsourcing. Although the development of manufacturing is not mature, a large number of high -market value service companies are enoughSupport the stock market.
From the perspective of the stock market system, the market -oriented exchange holding structure has spawned a benign entry and exit system and a huge derivative trading market, which has greatly activated the Indian stock market transaction.Judging from the inflow of foreign investment portfolios, the free foreign investment inflow system inspires the net inflow of investment portfolios, constitutes the capital support of the long -cow of the Indian stock market. In terms of specific indicators, the net inflow of foreign institutional investment (FII) and the stock market rising resonance, foreign equity investment(FPI) Net inflow leads the rise of the Indian stock market.
From the perspective of large market value companies, India’s large market value enterprises generally have high growth, and have become the backbone of the rise of stock indexes. Taking the banking industry as an example, high net interest margin brings strong short -term profitability, younger population structureAnd the early development stage leads to financing potential, and the valuation level of the banking industry is raised.From the perspective of consumption structure, India’s low savings rate and high consumption demand boosted the consumer industry. The long -term upward upward trend of the anti -goods industry is one of the distinctive features of the Indian stock market.
According to the research report, a benign entry and exit system is the basis of the high -quality concentration of the Indian stock market.In 1992, the Indian stock market implemented a registration systemJaipur Investment. After the listed company registered and submitted to the Indian Securities Regulatory Commission and submitted the issuance manual, the staff of the intermediary agency and the Securities Regulatory Commission would conduct dedication and review of the company’s different dimensions.After passing, the company’s various application documents will be reviewed and can be listed after reviewing.
After listing, the enterprise will face a strict regulatory system. The company that does not meet the conditions will be forced to delist. When a listed company is forced to delist, the directors, the initiator of the listed company, and all they initiated by them are established.The company must not enter the securities market directly or indirectly within 10 years or apply for re -listing.Under such a "wide entry and strict supervision" system, listed companies are facing the pressure of "survival of the fittest", and the poor performance companies will also be eliminated in time. From the perspective of ESG’s company’s governance perspectiveEssence
The development of the derivative transaction system has greatly expanded the capacity of the Indian stock market and active securities market transactions.Driven by the two major exchanges of India, index futures were launched in June 2000. Index options were launched in June 2001. Stock options were launched in July 2001, and stock futures were launched in November 2001.Derivatives transactions have greatly activated India’s securities market. As of 2022, the total transaction volume of futures and options of Indian Stock Exchange (NSE) has ranked first in the world for 4 consecutive years.From the data, from January to July 2023, the option futures of the two major exchanges in India were 3.5 trillion rupees, which was more than 400 times the spot transaction volume (86 trillion rupees).
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