2023 in markets : A cheerful finish to a volatile year.

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Apurva Dhamankar

1/14/20242 min read

In 2023, the stock market was like an exciting rollercoaster for investors. It has ups, downs, and unexpected turns. People who invest money had to deal with worries like rising prices, central banks making borrowing more expensive, global tensions, and predictions about the economy being both positive and negative. But surprisingly, by the end of the year, things turned out well- everyone was happy.

In the beginning, people were scared. There were problems around the world, like in Ukraine, and issues between China and Taiwan. Prices for things were going up, making it harder for businesses and people to afford stuff. To try and fix this, banks made it more expensive to borrow money, which made people think the economy might slow down. Because of all of these problems, the stock market went down, and investors tried to find safer places for their money.

But in the second part of the year, things got better. Prices for things people buy went down, making the worries about prices not as bad. The US Federal Reserve (a big bank) said they would be more careful about what made borrowing more expensive, which made people feel more hopeful. In India, companies made a lot of money because people there were buying many things, making investors feel good. So, the stock market went up again erasing the losses from before and reaching new high points.

In India, especially, the stock market did well. The Sensex and Nifty, which measure how well the stock market is doing, reached levels we’ve never seen before. This happened because there are more people in the middle class, more regular people are investing, and there are a lot of new companies starting up. Also, foreign investors put their money into India, because they thought it would grow a lot. By the end of December, the Indian stock market was close to being worth $4 trillion, making it a big player in the world.

Some interesting things happened in 2023. Smaller companies did better in the stock market than bigger ones like Trident techlabs pvt ltd, showing that the Indian economy is changing and growing. More people put their money money into mutual funds. And technology and clean energy companies became popular in the stock market, showing that people care more about sustainability and new ideas.

In the end, we all observed that for 2023, resilience was rewarded in a volatile market. And could say 2024, optimism tempered by caution, buckle up for a dynamic ride! One thing is for sure -the excitement for the stock market is not over yet!!


Thank you.

Regards,

Kumari Swapnil Verma,

Kautilya, IBS Mumbai.

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