Friday, January 26, 2007
In 2005, India received about 2.5 billion dollars as FII investment. In 2006 it trebled to 7.5 billion. In 2007, it is expected to go upto 10 b. FDI will be 9 billion this fiscal and is expected to be more next fiscal.
With such money chasing shares in the Indian stock market, we cannot see any imminent collapse even though the Dow Jones Theory states that higher levels cannot be sustained. It is better to hold on and watch the proceedings.