Stocks at 18K – FM cautions
Is PC nervous about the bull run in the Sensex? He has asked the retail investors to be cautious.
An aggressive buying by international funds in blue-chip stocks has created the stock market bubble in India. China has a similar story. But is it a bubble ready to burst any moment?
The international funds bring in mega funds and create the bubble. They can leave in a moment's notice creating a deep depression in Indian economy.
A catastrophic collapse will cause a massive depression in India. China faces the same grim outlook. The food prices in China and India are increasing close to 3% per quarter while official inflation is registered at one fifth of that. The crude oil price is building massive trouble spots in both the economies.