Indian stock market
The Indian stock market is called the Bombay Stock Exchange. The Indian stock market is important for two main reasons:
- It usually moves in step with the American stock market. Although the American and Indian stock market are two totally different entities they are still pretty strongly correlated. Since India is several hours ahead of us we can get a good idea for how our day will go by looking at how India, China, and Japan’s stock market did.
- India is still basically a 3rd world country now, but they are getting stronger and stronger each day. India has a population of over 1 Billion citizens, meaning they are more than three times the size of the U.S.
More than two thirds of Indian citizens live on 1 dollar or less a day, that is an appalling statistic. They are beginning to become industrialized, but it will not happen overnight. In twenty years India might be what China is now. A country with a huge population, growing middle class, dozens of investment opportunities.
It is also important to remember that a lot of American companies outsource to India. Although Indians work very cheap by our standards 5 dollars a day is a good bit of money over their.