Despite the price hike, the index is back at 59,000
The stock market started the new financial year with a long jump. On the first day of the 2022-23 financial year, the Sensex again entered the house of 59 thousand and settled at 59.28. Despite the continuous rise in prices of petrol-diesel and many other things, the market is so vibrant for some reason, this question is revolving in the minds of many. Not just on the first day of the year, but also throughout the week.
The Russia-Ukraine war, the abnormal rise in crude oil, the rise in interest rates in the United States and Britain, and all the forces behind the rise of the market
Although the stock market is booming, it is not at all good for ordinary people to raise the prices of daily necessities at all levels. From milk, medicines, bread, edible oil, etc., to essential commodities, the cost of travel and many other commodities are going beyond the reach of the middle and lower classes. The way prices are rising, the rate of inflation of goods in March may have already gone up a lot. It will be clear after the release of official figures. More heads are expected in April.
In such a scenario, it remains to be seen what decision the Reserve Bank’s credit policy committee will take at its April meeting. This time too, if they prioritize keeping the cost of raising capital for the industry low and do not rush to raise prices by raising interest rates, the common man may suffer. After the US and UK raised interest rates due to a sharp rise in prices, the middle class had low hopes, this time may be a slight increase in interest rates on small savings projects. But it did not happen