Mar 29, 2020

Why is Indian stock market not shut down despite the lockdown?

Stock Market is the reflection of our current state of Indian economy and future of it. If our economy is not doing good then it has to reflect it. Corona Virus has stopped most of the economic activities of the country and that need to settle. Even if we shut down the stock market now then whenever it opens it will adjust. But, if we close it then investors confidence will go down as they won't be able to settle their investment as per the confidence in economy. Also, there are other market in the world where those money for trading can go. Singapore market trade our stocks too that is SGX. Money will move there and we may loose big part of the trade to them.

Also, technology firm can allow most of its workers to work from home. So, there are sense to let them work with minimal attendance at workplace.

So, it is for investor's confidence and risk of loosing money to other competitors, we have allowed Stock Market to function.