(A) Inflow and outflow of foreign funds
(B) Fluctuations in foreign capital markets
(C) Changes in the Monetary Policy
Which of the above mentioned causes are correct ?
Correct Answer: (c) A, B and C
Note: The main reasons for the volatility in Indian share market are as follows :
1. Inflow and outflow of foreign funds.
2. Fluctuations in foreign capital markets.
3. Changes in monetary policy.
4. Availability of liquidity in the market
5. Political situations
6. Economic outlook
7. Corporate performance etc.