CLOSE X
Algo Trading
Home

Blogs

Stock Market Blogs

How will Omicron affect the stock market? December 14 2021Stock market updates, Omicron variant

Visit Count: 645

How will Omicron affect the stock market?

On the COVID-19 front, things seemed to be getting better. At least, that's what we all believed! Since the pandemic began, India has reported the fewest single-day infection cases. On November 24, 2021, South Africa calls the World Health Organization (WHO) helpline to report that a new strain of the virus, Omicron, has been identified in the nation. So, what impact will the new variation have on the stock market? 

Current Scenario

The development of this new strain and its spread around the globe has undoubtedly put a halt to the post-pandemic recovery process, causing stock markets to become restless. Last week, the Sensex and the Nifty witnessed two big drops as a result of these fears. Decisions made by governments to stop the virus from spreading might stifle the global economic recovery, putting the financial markets in jeopardy.

Situation of Confusion

Stock market players are concerned about how this new variation may effect corporate earnings. Stock markets have become more volatile as a result of this. The stock markets can send investors on a roller-coaster trip until the impact of this new variety is revealed. Whatever the research reveals, stock market players will be on the edge of their seats in the coming days to see what happens!

Whether to sell or to hold?

Such situations brings up the urge to sell off equity investments and hold cash as an investor. But the loss will be yours if the stock market crosses all hurdles and continues to rise.

Investors might also think of pausing their ongoing SIP instalments. However you would be forced to buy shares/MF’s at higher price.

What can we expect next?

There can be two possibilities from here on. If the Omicron variant is found to have only mild symptoms, it will certainly be a blessing in disguise for the whole world. The spread and severity of this variant can be controlled if this is the case. This will turn out to be a positive scenario for the world.

The bad- It can set a stage for the virus to show its potential with a third wave in India and across  several parts of the world if this variant is found to be more transmissible and dangerous than the other variants which certainly can have an impact on the businesses and in turn on the stock market.

Working from home and tackling business downfalls have become a new normal for corporate India. The stock market participants would keep a close eye on the development of grey areas on the virus front.

How to make the most out of this situation?

Stick to your investment strategies and stay away from daily market noises is what one can do to counter the situation.

You can buy at low, if the stock market is trending downwards. However, your money can grow if the market tends to grow upwards.   

A great way to make the most out of this situation is to stick to your investment plans and not get disturbed by daily market volatilities. 

COMMENTS
Form
Categories
Blog Enquiry

Prevent Unauthorized Transactions in your demat and trading account --> Update your Mobile Number/Email id with your Depository Participant and Stock Broker. Receive alerts on your Registered Mobile for all debit and other important transactions in your demat/trading account directly from CDSL and Stock Exchanges on the same day.........issued in the interest of investors...

1. Stock Brokers can accept securities as margin from clients only by way of pledge in the depository system w.e.f. September 1, 2020.

2. Update your Mobile Number & Email Id with your Stock Broker/ Depository Participant and receive OTP directly from Depository on your Email Id and/ or Mobile Number to create pledge.

3. Pay 20% upfront margin of the transaction value to trade in cash market segment.

4. Investors may please refer to the Exchange's Frequently Asked Questions (FAQs) issued by NSE vide. Circular No. NSE/INSP/45191 dated: July 31, 2020 and NSE/INSP/45534 and BSE vide Notice No. 20200731-7, dated: July 31, 2020 and 20200831- 45 dated: August 31, 2020 and dated: August 31, 2020 and other guidelines issued from time to time in this regard.

5. Check your Securities/ MF/ Bonds in the Consolidated Account Statement issued by NSDL/ CDSL every month.

"As per the directives of CDSL and esteemed Exchanges, it has been made mandatory for every client to furnish their latest KYC details viz. Valid Mobile No., Email- Id & Income range on or before 31.05.2021 else your Account will be marked as Non Compliant and will be Freezed till the compliance of such requirement."
"No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account."
"KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary."
REGISTRATION NOS:

INDIRA SECURITIES PVT.LTD. (SEBI REG.NO.):NSE TMID: 12866, BSE TMID: 663, CDSL DPID: 17000 SEBI REG. NO.: INZ000188930, MCX TM ID: 56470, NCDEX TM ID: 01277, CDSL REG. NO.: IN-DP-90-2015, CIN : U67120MH1996PTC160201

DISCLAIMER:

"INVESTMENT IN SECURITIES MARKET ARE SUBJECT TO MARKET RISKS, READ ALL THE RELATED DOCUMENTS CAREFULLY BEFORE INVESTING."

INVESTORS GRIEVANCE

Shivkumar P. Email: compliance@indiratrade.com. Call : 0731-4797275

Investor grievance complaint : complaint@indiratrade.com

INVESTOR CHARTER