Will there be a major decline in the Indian stock market? Signs of destruction like 'Nixon Shock'

There has been a major increase in gold prices for some time, which is discussed that there is a major risk in the stock market. Because it is often seen that the stock market is also declining with rising gold prices. With rising gold prices, some people also say that the devastation like ‘Nixon Shock’ of 1971 is coming. After the 1971 Nixon Shock, gold prices rose above their lowest levels, which from 1934 were stable at $ 35 per gram. Gold prices have been on the air for the next two decades, which has risen even more due to excessive inflation and geopolitical risk. The increase in gold prices together with global destruction as well as the stock market has also dropped. In light of this, Trump’s tariff shock is now compared to “Nixon Shock”. It is said that the ongoing increase in gold prices can cause destruction such as “Nixon Shock”. However, gold prices have been declining for the past two days. Broker said there was no risk, while Icici Securities said nothing like this was going to happen. Earlier, the increase in gold prices used to increase the risk in the market, but now gold and stock market has an unbreakable ratio. The ongoing increase in gold prices is just a coincidence. The brokerage firm said that the increase in gold prices today does not mean that the stock market is falling, and that the increase in equities does not mean the weakness in gold. Golden boom, not in the ship: Icici Securities says that gold will continue to rise until the tariff issue is resolved and the demand for gold of the central banks meets. But that will not mean that shares will fall. It could be a coincidence if the market drops during the golden bully. Broker said it is wrong to use gold prices as a sign of long or short stock positions. As gold and stock markets grow together, broker says there has been such a decline in the stock market. After the global financial crisis of 2008-09, the regulatory changes made by the central banks accelerated in the stock market in 2010, while gold prices continued to rise, which led to a positive correlation. A similar overlap was seen in the 1980s, when both gold and the stock market reached a record high. Share this story -tags