RBI’s policy has come and gone. Irrespective of the decision the policy was to have a very low impact on the markets and that is something that we will see over the next few days. RBI’s assessment of upside risk to inflation is unlikely to play out, however given the strong rally in Indian bonds […]
Read MoreOn Saturday evening RBI announced that banks will need to maintain a 100% CRR on deposits received between 26th Sept and 11th November. This will suck out around Rs 3 Lakh Cr from the banking system. It is important to understand the reason why they did this and how it was essential to maintain Financial […]
Read MoreThere have been several negatives that have been spread about DEMONETIZATION over the last few days, largely by opposition politicians and some by left leaning economists. The primary among them are, how will the introduction of Rs 2000 notes by replacing Rs 1000 and 500 notes address the issue of Black Money generation. The second […]
Read MoreIt has now been three days since demonetization was announced. The initial euphoria among the middle class as well as honest tax payers has given way to some sort of misgivings due to the slow process of currency change and new currency availability. Many people who do not understand economics also are spreading issues like […]
Read MoreIt’s been some time since I wrote on the markets and the main reason was to let the event of the US Presidential Elections get over. However on the same day we also got hit by Demonetization as announced by PM Modi which has its own implications on the short as well as long term. […]
Read MoreIt has been an uneventful month for the Stock Markets after the strong rally seen over the last few months. The August was like most Augusts’ that tend to be boring. The boredom got released a bit yesterday as the FED talked of potential rate hikes “AGAIN”. It’s a good thing to bring some fear […]
Read MoreYes you are right PESSIMISM. It is amazing the kind of scepticism that thrives all around today. Most people are not willing to believe that a recovery is on and that the macroeconomic scenario in India is much better than it was ever over the last many years. There are several reasons for this, however […]
Read MoreBash the Central Banks is a common theme that goes on all the time across various discussion forums and from Economists of different Hades and hues. However the fact is that most of them would not have their jobs and the companies that they work for might have gone down under if the Global Central […]
Read MoreThe Union Budget was presented today. Normally budgets are taken as a statement of intent of the government and give a directional view of where they want to take the economy and the country going forward. There were only two major things that I was frankly looking for in the Budget, firstly whether the 3.5% […]
Read MoreWe are now at the fag end of the results season for the third quarter. Most results have been in line with expectations except for the Banking sector where a Raghuram Rajan propelled cleansing left most PSU banks and some Private sector banks reeling under massive stress which was always there but the public could […]
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