Why the increase in stock increase GDP

Question

can anyone tell me reason. why the changes in stock either increase or decrease will reduce or increase GDP. why

Answer 1

stock as share prices?

Demand in shares/stocks lift up the bourse index. More money injected in the country & more economics activities & productivities can be churned, hence increase the GDP.

Answer 2

Do you mean changes in the market prices for stocks? It would have no direct effect on GDP at all, since the market value of companies is not a component of GDP. Indirectly it could affect GDP in the sense that growth rates are influenced by the relative wealth represented by those investments.