BUSINESS
Inflation vs growth: Monetary policy is at a crossroads
The pause may be prolonged for more time if inflation numbers from time to time fall within the RBI target range
BUSINESS
Managing Portfolio: Gain from tactical allocation when markets consolidate
The tactical allocations have the time element as an important component of action because timely action will alone bring in optimum results
BUSINESS
Flight To Safety: Funds to flow into fixed income, debt funds
High levels of inflation in most economies have increased volatility in equity markets and lowered returns. It may remain so in the immediate term
BUSINESS
Corporate earnings are under pressure. Expect more compression as growth slows
Earnings are sensitive to GDP growth, in differing proportions for different sectors. Growth is expected to be in the range of 6-6.5 percent, lower than the 7 percent growth estimated for FY23
BUSINESS
Central banks are on the horns of a policy dilemma
The persistence of inflation and the need to be expansionary to spur growth are trying to draw the cart in opposite directions
BUSINESS
Oil at $88-90 a barrel in 2-3 months can't be ruled out given the ground realities
The rise in oil prices will have major implications for domestic inflation and exchange rate as local currencies are likely to weaken.
BUSINESS
'Emerging markets fairly valued; some correction likely but can't put blame entirely on Fed tapering'
Powell said, "My view is that the substantial further progress test has been met for inflation," and that "There has also been clear progress toward maximum employment."
BUSINESS
'RBI may take cues from US Fed, policy stance to remain accommodative'
Rising US inflation, accompanied by tapering of the bond buying program, may reduce the extra ordinary flows into the Emerging Markets while normal flows from long term investors like pension funds may still continue.
BUSINESS
Economic growth expected to accelerate in US, China in expansionary phase too
China reported a GDP growth at 18.30 percent for Q1 of CY21. This is the highest rate of growth which China has witnessed since 1993.
BUSINESS
Fiscal stimulus and vaccinations dominate global discussions
Here’s a review of the economic recovery and macroeconomic policies in the US, the UK and the Eurozone.
BUSINESS
Here is why rising interest rates are considered the worst enemy of equity markets
Inflation leads to higher official interest rates, it affects the cost of funds, and therefore, the profitability of a large number of corporates.
MARKETS
What a rise in US bond yields mean for investors and Indian equities
The 10-year US treasury benchmark has moved up to 1.50 percent, and it is likely to rise further.
BUSINESS
Q3 GDP: Need more to say that India is really growing instead of recovering somehow to feeble single digit levels
The core sector represents 40 percent of the IIP and is quite a weak number when read along with the GDP numbers, as futuristic indicators of economic activity.
BUSINESS
Budget 2021 a chance to open up, promote avenues to enhance domestic operations
There could also be some limited relaxation in the tax slabs like taking the exemption limit to Rs 5,00,000 from Rs 2,50,000.
BUSINESS
Fixed income investments: Stay with short end of the curve and avoid long duration products
On a risk-adjusted basis, the returns from the shorter maturity funds is far superior.
BUSINESS
Gold uptrend intact but may test support levels if these factors change
Gold ETFs have registered continuous growth in AUM since the beginning of the year.
BUSINESS
Understand Perpetual Bonds thoroughly before taking the plunge
It is a clear understanding about Perpetual Bonds that the coupon will be paid only if the bank profits.
