As Attacks on Israel Trigger Market Decline, Shankar Sharma Highlights Shifting Investor Interest to China

As seven countries launch attacks on Israel, Asian stock markets have experienced a significant decline. In light of this, Shankar Sharma of G Quant Investec shared insights, indicating that the war is not the sole factor influencing market dynamics. Instead, he noted a shift of investor interest towards China, anticipating considerable growth in its stock markets. Shankar emphasized that significant upswing phases in stock markets are often accompanied by downturns, but overall growth remains inevitable. He highlighted the absence of strong domestic competition for Indian equity markets over the past few years, with China now making notable strides. With a market capitalization of $3 trillion, he believes the current decline in Indian stock markets is temporary, as many companies have emerged since 1996, prompting investors to adopt a more cautious approach.