The markets are expressing relief after the Chinese central bank and the Federal reserve indicated their approach. The fact that there could be six interest rate hikes in the US has been put on the backburner for the moment. Clearly, the markets want some relief. A rally of this kind…
Here is the transcript if you would like to read it instead: Namratha: Welcome back to Kairos, a podcast on financial planning where we talk about doing the right thing at the right time. I am Namratha from the planning team and it is good to be back on Kairos.…
The choices investors make are mostly voluntary. Investors always take easy choices and pick options that look better from a recency point of view. When an investor has money and wants to make a choice, he is always more inclined to pick up what has worked well in the immediate…
In every market context, you will always see some themes fall out of favour. This usually happens after a wave of euphoria. Investors wait for the good times to come back and gradually lose patience. When this happens, investors realize that euphoria is not going to come back anytime soon.…
The panic around Russia’s war on Ukraine was swift and sharp. But, the panic also appears to be short-lived. The markets seemed to have regained some composure within a day. These reactions often keep changing. Uncertainty, when prolonged, tends to bring out fear in ways that cause extreme reactions. While…
The prospect of a war is new to millennial investors. The last century had multiple wars that shook stock markets. These wars happened at the most unexpected times and created a ripple effect in global capital markets. But after every war, rebuilding also created its own impact on stock markets.…
FM Nirmala Sitharaman presented the much-awaited Budget, providing an impetus for growth. Budget 2022 reiterates the fact that the Indian economy is poised to grow significantly from the current levels amidst Covid uncertainties and rising inflation. There are very few changes in the personal income tax space. Long-term growth has…
US Monthly inflation at 7.5%; Crude at $95; Soaring food prices; Gold at $1860; and US 30YR yield at 2.2% – The American economy is set for an interesting economic year where its problems arising from growth need to be addressed, without causing serious disruptions in the economy. What happens…
The budget clearly signalled an infrastructure thrust. The Government will lead from the front. What matters is that private investments should follow, and we should see an overall investment boom in India for the next few years. An investment boom is not an option, it is necessary for us to…
In this month’s Fixed Income note we will be taking a look at the outcomes of January’s Federal Reserve policy meet. Highlights Indicators of economic activity and employment have continued to strengthen considerably. The federal reserve is keeping up with the decided pace of reducing asset purchases and will stop…
It’s budget time again, and investors have the twin worry of domestic and global sentiment to factor in next week. The Government has a relatively lighter task. The expectations are running low, and promises are also not going to be too difficult to live up to. The last budget saw…
Investment styles and inflation are correlated. When inflation stays low for a long period of time, the themes that benefit from them are different. When inflation starts rising and remains on the ascendant for longer periods of time, the themes that benefit from them are another set. Investors globally are…