One last hope of the stock market survival went into the drain with the voters at the white house dumped out the possibility of the $700 billion bailout, that was quite interestingly awaited by the capital markets. The markets are definitely going to change now and this effect was clearly seen in dow where it fell almost 10% of its value in the same day.
The global markets also take the beating, especially the asian markets, where hang seng and sensex lost a considerable ground. Investing has become tough and a risk to reward equation has totally changed, says the research desk at NriInvestIndia.com
This is definitely not one good news to the market, especially to the financial sector that was looking forward badly for this liquidity injection, which could have brought some hope in the credit availability.
The investors have to be quite cautious now, till the federal government does not come up with some solid back up plan to save the wallstreet along with the global markets. Best option available to investors including non resident Indians living abroad in countries like USA, UK and Australia is to invest in India’s real estate or mutual funds that intend to invest into the property market.
Systematic investment plans could be one investment heaven for the investors who want to invest a minimum small amount in the Indian stock markets like: nse and bse. The sips invest into mutual funds regularly with small capital every month, thus providing you a good leverage in the long run.