After ages did the world happen to witness a pandemic as such which has shocked by its ability to spread rapidly and above all, its consequences on the world economy. Now the market has gone 30-40% low. But still, the stock market is there and it has not been closed yet. In this article, you can get to know why the stock market is not stopped and what can be the results if it gets stopped in the lockdown. Some people argue that due to the halt in the market, the prices of the stocks are falling. This is why the stock market must also be locked down. This was something opted by the Philippines while dealing with the deadly virus with the hope that the losses can be stopped. They have tried locking their stock market down for two days. And the third day when they happen to reopen the stock market, then they found themselves to have depressed 24% down. This was the immediate result of locking down the stock market. Hence, we need to understand the gravity of the problem and closing the stock market completely can never be the solution.
If we propose to close the stock markets then the stock market can gain or lose drastically by the growth or depression of the market after the lockdown. Hence, the day we would open the market, we can be blown by the drastic fall.
But a second argument can also be presented that- if the reopening of the market brings in the good news of elevation of the stocks. In that context, there are many such ideologies presented by the people who make money out of the stock market daily. But this can never be an argument presented by people like us who are long term investors here. The long term investors will be least affected by the blow they have to receive after the depression. This is so because we will not be buying or selling stocks right after the depression. We have invested in stocks to make money shortly.
Ultimately, no matter if you stop trading in the stocks for the lockdown period or you keep on trading, the price of the stock will eventually be there where it has to. There might be a gradual fall or a sudden fall, depending on the state of the market. If you are an investor who makes money through the brokerage value, then you might get affected by the depression because your brokerage will not be much as the value o the market is going through a sharp fall. This is the reason why the stocks market is not yet closed a sit can affect the economic stability of the people individually and the whole nation unanimously. Hence, be patient with the times and you can get back handsome returns with every witty move you make.