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Below the Quote on Stock Market Globally surpass Hong Kong By Palka Arora Chopra, Director, Master Capital Services Ltd.

On January 22, India overtook Hong Kong to take the fourth spot in the world's stock market rankings by market capitalization. On Tuesday, Hong Kong's market capitalization was $4.29 trillion, while India's was $4.33 trillion. A rapidly expanding retail investor base, consistent inflows from foreign institutional investors (FII), robust corporate profitability, and bullish investor sentiments drove Indian equities to new highs. Investor confidence has increased due to the anticipated rate reduction by international central banks in 2024, which has further fueled the surge in the Indian market.

The positive macroeconomic conditions, predictions of interest rate decreases, and optimistic attitude before the election, have helped the Indian equities markets see gains for eight years running and are expected to continue growing. Investor confidence has increased following the National Democratic Alliance (NDA) led by Narendra Modi's recent victories in several state elections, indicating continuity as India prepares for central government elections in April 2024. It is anticipated that the ongoing policies and initiatives will push India's economy closer to the coveted Rs 5 trillion level if the BJP wins a third consecutive term in office. India has positioned itself as an alternative to China, attracting fresh capital from global investors and companies alike The economic slowdown in China and the pressure on American investors to reduce their exposure to Chinese companies are causing the Hong Kong markets to decline.

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