Daily stock market loss in State Rs 1 crore

By Surajit Khaund GUWAHATI, July 3 – Sandip (name changed) has lost nearly Rs 2 lakh in the stock market during the last 15 days. He is not alone. Several investors in the State have lost their money in the stock market. The volatile stock market has now added more pain to the State investors. During the 15 days, the estimated daily loss in the State is nearly Rs 1 crore as more and more investors are involved in the stock market.“I invested the amount in the stock market from my savings only. I am helpless now,” Sandip told this correspondent today. He further said that hundreds of investors in the State had already lost huge sums of money due to uncertainty in the market.Though surging inflation and unabated selling by foreign institutional investors (FIIs) are responsible for the present volatile market, crude prices and rising interest rates have also made the stock market more volatile.“We are really concerned at the stock market as the investors have lost their money,” JK Jain, director of the Gauhati Stock Exchange (GSE) said today. He further said that the Sensex could fall further and therefore the investors should remain cautious while investing their money in the market.During the last six months the market has been volatile and last Monday the Sensex had touched a record low of 12,961-mark. This volatility is likely to continue for a longer period.Jain has also advised the investors to invest for a long time at least for two years to get better results. “Rupee depreciation is one of the factors for the volatile market,” he added.Striking a similar note RS Joshi, chairman of Federation of Industry and Commerce of North Eastern Region (FINER) and former president of GSE asked the new investors not to enter the stock market at present as they could lose more money. “ There is no immediate sign of recovery in the market and hence the new investors should refrain from the stock market. Let the market cool down first,” Joshi opined. He attributed the volatile market to surging crude prices, rising interest rates and political uncertainty. Joshi predicted that market will take three to four months time to recover. “Considering the volatility, it will take the market more time to settle,” he informed.According to available information the GSE has so far over 10,000 investors with an investment of nearly Rs 900 crore per month. The figure of course varies time to time depending on the behaviour of the market. Moreover, with the entry of broking companies, more and more youths are now engaged in stock market. The daily transaction in the State’s stock market is estimated to be around Rs 40 crore. source: assam tribune