Sustaining Capital Market and the highly bullish Sentiments

Apropos your editorial sustaining Sensex’s scorching Bull Run (ET dated 13/12/2023), though the trend is encouraging and capital market is getting a boom with enhanced and the very  much needed retail participation, the fact remains that the entire bull run does not seem to have  the full backing of the very fundamental strong macro economic factors like mass physical production and employment expansion in tune with the global expectations and not so encouraging global trends in terms of growth, employment and favourable geopolitical conditions. Even domestically, the widening inequality and uncertainties seen in retail inflation in particular  affecting national savings , employment, investment and production trends can have an adverse impact on the capital market as this segment alone cannot prove to be a support system to sustain the economic growth envisaged. No doubt political stability and the well deserved  psychological boost earned in the system can do a lot of wonders , but the real success can be counted only through very imaginative fiscal and monetary policies capable of taking the potential of the country to the optimum level to meet the global challenges seen politically, economically, socially and technologically. The capital market boost is welcome but needs to be  made healthy, reflective of all round progress in terms of sustainable savings, investment, employment, production and above all fair and equitable distribution of wealth. All round Welfare of the masses everywhere should be the objective and the end result should be peace , prosperity, happiness and the satisfaction of having a fulfilling life.

T V G Krishnan