Effect of fall in Adani’s shares, Indian market lags behind UK

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Indian Economy: Adani Group Stocks have continued to perform badly since the Hindenburg Report came out about a month ago. This is also affecting the performance of the Indian Equity Market. Due to this, the value of the Indian stock market has decreased. On the other hand, due to the weakness in the pound, the big exporters of London have got help, due to which the condition of the British Equity Market has improved. Due to these reasons, the UK Share Market has overtaken the Indian Equity Market and has now become the sixth largest market in the world.

UK again ahead after nine months

According to a Bloomberg Report, Britain has left India behind after nine months in terms of equity market. According to Bloomberg data, the total market capitalization of UK primary listings, excluding ETFs and ADRs, overtook that of India on Tuesday. According to the report, now the value of the British equity market is $ 5.1 billion more than that of India and its total value has become about $ 3.11 trillion. UK market has overtaken India after 29 May 2022.

They helped the British market

The report quoted Leith Khalaf, Head of Investment Analysis at AJ Bell, as saying, active managers in the UK stock market are giving excellent returns to most investors by trading in shares of small and mid-sized companies. This has increased the appeal of the British market. Apart from this, companies giving good dividends are also attracting investors.

Better returns than global market

Britain’s FTSE 350 Index gave better returns than global equities last year as well. The index is up 5.9 per cent so far this year, while MSCI’s All-Country World Index is up 4.7 per cent so far this year. The FTSE 100 Index has crossed the 8,000 mark for the first time in history last week.

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These factors dominate the Indian market

On the other hand, talking about the Indian market, many challenges dominate here. Apart from the weakness of the rupee, the continuous heavy fall in the shares of Adani Group is having a bad effect. The MSCI India Index has fallen 6.1 per cent so far this year. Since the Hindenburg report came out on January 24, the market capitalization (Adani MCap) of Adani’s companies has decreased by about $ 142 billion. Although Gautam Adani has consistently denied Hindenburg’s allegations, it is not affecting the stock price.

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