India's Stock Market Bubble 2021: Signs and Causes.

This paper analyzes and forecasts the contrasting conditions of real economy and stock market amid pandemic. Stock market is a place where public dealing takes place for issuing, buying, and selling of stocks in the form of facilitation of the transfer of funds from investors to firms. The main aim of the stock market is to assist firms in raising funds. In this paper, the stock market bubble of 2021 and various pull-push factors behind swelling of the stock market are vividly discussed. As it is known, bubble brings rapid rise in the prices of assets and is usually cyclical in nature. Recently, RBI has shown concern over stock market bubble in its financial report. The paper discusses India's stock market bubble 2021 and provides the reasons for the same: decentralization of firms from China, increase in the rate of vaccination, India's monetary and fiscal policy during the pandemic along with the welfare assistance provided to the public. [ABSTRACT FROM AUTHOR]