Archive · 29 Jul 2026

India's Market Risks: Could Leverage Trigger a Crash?

India's Market Risks: Could Leverage Trigger a Crash?

India's stock market is growing, but there are worries about too much borrowing to buy stocks.

This is called leverage.

In South Korea, too much leverage caused a big drop in the stock market.

Nithin Kamath, a big name in Indian stock trading, thinks India could face similar problems.

He says that if the market drops sharply, many people might have to sell their stocks quickly, which could make the drop even worse.

However, India has rules to control this, but no one knows for sure if these rules will be enough if a big crash happens.

Sources