The RBI’s monetary policy announcement did not do much to improve the market sentiment. The clear shift in stance, willingness to be accommodative, the confidence on inflation management and a decisive bend to act and do more if necessary were all simply not enough to reassure markets. The markets seem…
A new cabinet took office last week. Economic data for the last year was released shortly after. Clearly, the new government has no honeymoon period. It must hit the ground running. Even though the challenges are clear and everyone knows what needs to be done, the way forward is still…
The last week saw turbulence in the guidance of a global Indian IT giant. They marked their guidance down taking their stock down sharply. Domestic IT companies had however not dropped their guidance in their earnings calls done weeks earlier. When one company, and especially a large one, drops its…
Three phases of polling are over. We are past the midway mark. Pollsters are slowly spotting a decisive trend. They won’t put out numbers due to electoral regulations. Meanwhile, the markets seem to be responding to domestic corporate results and global trends. Oil is rising. The US markets are about…
The first phase of polling is behind us. The fate of 91 Lok Sabha seats is already sealed. The second phase comes up next week. Predictably, this is the most keenly fought election. It is a battle for survival. While political parties pit themselves head to head against each other,…
A new financial year has begun on a positive note. Flows seem to be improving from both domestic and foreign investors. Indices are setting themselves up for new highs. Yet, index valuations already look very much on the higher side of the band. Growth seems to be stable but inadequate…
Another financial year draws to a close. For investors, it was a forgettable year. While domestic investors showed sustained commitment to Indian equities, FIIs sold Indian equities for most of calendar year 2018 and turned buyers in 2019. Valuations kept moderating through the financial year and investors kept showing enthusiasm…
Election fever is just about to begin. This election is probably unique for its competitive intensity. On one side, we have a strong coalition with a clear leader. On the other, there is a strong opposition of divided forces to that leader. While the impact of a united opposition could…
The course seems to be set for a liquidity driven market rally. Evidently, the markets seem to be betting on a clear, decisive, electoral verdict. This does not mean that the verdict will be just that. Elections are innately unpredictable and the only way to play them is by either…
Investors are constantly shifting on this judgement – are domestic and global equity markets coupled or decoupled? FII flows tend to swing wildly and frequently, and they keep testing the prevailing hypothesis. When we think we are coupled, global fund flows into India spring a surprise on us. While global…
This is a season of information hyperactivity. We have politics, elections, conflicts, monsoon, and global volatility on our information agenda. Personality adds a bigger dimension to information. In the midst of all the hype, we are getting ready for a larger trend to develop – that is, the FII outlook…
It is not unusual for investors to be disappointed when their portfolios are in red. They tend to check portfolios more often when they are near the peak or the bottom. The frequency of checking increases during both peaks and troughs. And, as luck would have it, the time lapse…
