BUSINESS
In The Money | Take the pulse of the market with put-call ratio
A few indicators can help inform our views on the direction and volatility of the market. Today, we cover the option chain and put-call ratio
BUSINESS
Should investors cash out as markets flirt with all-time highs?
The near-term trigger for the rally has been foreign buying due to China’s economy slipping on the growth front. While India’s attractiveness is also visible, some near-term risks have developed
BUSINESS
In The Money: Key rules of Greek interplay
At any point in time, an option trader must deal with everything changing all at once. The underlying could be trending while volatility is rising, and of course, time keeps passing. So, a successful option trader needs to be hawk-eyed about all of Greeks all of the time, as well as their interactions Ananya Roy
BUSINESS
In Focus: Indian fertiliser sector
Government support, utilization of new capacity to cater to the rising demand, and continued forays into production of the more efficient and sustainable nano urea are expected to keep the Indian fertilizer industry buoyant
BUSINESS
In The Money | Using Vega to navigate vagaries of the market
Higher the volatility higher is the option premium. Vega is the Greek which measures this relationship and it is the change in option premium for a unit percentage change in volatility
BUSINESS
Is the recent market rally in sync with the economy?
The breakout in the markets has come at a time when the Indian economy is standing out from the global rout
BUSINESS
In The Money – Theta: Time giveth and time taketh away
We have focused our attention on what’s called the “intrinsic value” of an option – the value of an option attributable to its moneyness. For the sake of simplicity, we have left “time to expiry” out of the equation so far. Now that we are through with intrinsic value, it is time to bring in time-value into our discussion
BUSINESS
Indian IT sector – Has the tide turned?
The worst fears of a deep recession in the developed economies is receding, a good sign for Indian IT companies
BUSINESS
In The Money | Gamma’s the next Greek on the options trading block
Despite Gamma being a seemingly small number, it has a significant impact on how sensitive the option is to the underlying
BUSINESS
A deep dive into Muthoot Finance’s business model
The primary driver behind AUM growth has been a synchronous appreciation in the price of gold
BUSINESS
In The Money | How Greeks make options tick, Delta explained
To successfully manoeuver around the risks in trading options, an option trader needs to be well-versed with various factors which drive option prices. Enter the Greeks
BUSINESS
China’s shaky recovery and how it impacts Indian investors
Recent numbers indicate the Chinese economy appears to be losing steam. After March saw falling credit growth, housing market sales, and consumer inflation, April numbers indicate further stress
BUSINESS
In The Money | Crucial practical concepts—stop loss, margin and liquidity
While option-sellers can incur an infinite loss in theory, in practice it is not as scary. Here are some practical considerations in option-trading
BUSINESS
Consumer stocks could benefit as this X factor reappears
Rural India was missing in action as a stock trigger for consumer stocks, such as two-wheeler and FMCG companies. But Bharat appears to be on the rise again
BUSINESS
In The Money | Know the basics of options trading
In the Money is a new series that will demystify the world of options trading for readers and the inaugural edition kicks it off by explaining risk and the language of options
BUSINESS
What are the macro data telling the markets?
While the macroeconomic data indicates that the likelihood of sidestepping recession has increased, the economic engine is not expected to run at full steam in the near future
BUSINESS
Nifty has been complacent – Is this the calm before the storm?
India VIX’s lows have been harbingers of volatility and a stormy period for the Nifty in the past. This is likely to repeat again with the recent drop in VIX to near all-time lows
BUSINESS
Investors face a new normal, what should their strategy be?
Q4 results are sending a message that global uncertainty is catching up with Indian stock markets. It calls for caution but also signals opportunity
BUSINESS
RBI surprised with a pause and Nifty has gone up, but will the rally go on?
Whether or not FIIs continue buying will depend on whether central banks stick with the pause
BUSINESS
The impact of key near-term events on the markets
The degree of pessimism has reduced, but it is still too soon to put on our bullish hats
BUSINESS
Capital gains taxation: Is there a method to the madness?
The government’s premise that debt funds are similar to fixed deposits in terms of returns is misplaced since bonds carry credit and interest rate risks
BUSINESS
Investors should take cues from the Fed’s approach
The US Fed increased interest rates but also signalled a pausing of rate hikes. That gives breathing space to US banks and creates more conducive conditions for equities. But it’s not that simple
BUSINESS
Banking rout – A few bad apples, or is the whole barrel at risk?
Established Indian banks are better placed to weather the current storm
BUSINESS
SVB crisis stirs up memories of 2008 – What should investors do?
Regulators have stepped up to the plate quite promptly this time around. This is expected to hopefully arrest the situation before it snowballs into something bigger and scarier
