The market realises small may not necessarily be beautiful
RBI data show that in Q3 2023-24, companies with annualised sales of Rs 25-500 crore saw their operating profits shrink year-on-year, in the aggregate
Google’s bad Gemini rollout did the world a favour
The laughable screw-ups in the Gemini chatbot’s image-generation — racially diverse Nazi soldiers? — offered a salutary glimpse of an Orwellian dystopia. And in so doing, they also highlighted vital questions of opacity, trust, range of application, and truth that deserve more attention as we contemplate where AI will lead
Moneycontrol Pro Panorama | The road to stability is paved with penalties
In today's edition of Moneycontrol Pro Panorama: EFTA model and its replication for future deals, surging cotton price adds to woes, IIP contradicts GDP data, Maldives’ growing closeness with China explained, and more
Investigate possible use of electoral bonds for money laundering
During an electoral bond’s 15-day life cycle, it can be used to conveniently move large amounts of anonymous money, settle shady transactions without leaving a money trail, and even channel money routed through shell companies to political parties. Riddled with such opportunities for money laundering, this allowed for a ready secondary market for electoral bonds. A fit case for investigation by central agencies exists
Strategic policy reforms that can propel the Indian space sector to a faster growth trajectory
The space value chain needs targeted reforms for its upstream, downstream and auxiliary segments. Strategic policies that can be offered range from production-linked and service-linked incentives to GST- and customs duty exemptions, creating ‘space’ infrastructure, and regulations that boost private sector participation
The dangerous illusion that we are all overworked
The best economic data show that, on average, people are working fewer hours than ever. Working hours have declined the most in countries with higher GDPs because it takes fewer hours of work to earn a comfortable living. Most people have about 40 hours of free time a week. All those streaming platforms are doing a roaring trade for a reason. But it mustn't be forgotten that it is hard work that helps economies, companies and individuals pull away from the competition
Will Britain let China browbeat its universities?
A recent incident of a University College London lecturer being barred from teaching a research module after Chinese students complained that it was “provocative” has kicked off a debate on academic ideals and commercial pragmatism. Overseas students in the UK pay on average 2.4 times more tuition fees than domestic counterparts, providing a critical revenue stream that any administrator would be loath to jeopardise
Chart of the Day | Quick commerce’s strengthening hold is a risk for kiranas as market growth is also slowing
The traditional trade channel’s growth uptrend slipped in the December quarter, despite the year ago period having seen a decline
Martin Wolf: The future of ‘communist capitalism’ in China
The question of whether Xi-ism is killing Deng-ism is growing
March madness is coming for the global shipping industry
March is the traditional low season for the global logistics industry and also the time when ship operators, importers and freight forwarders sit down to discuss long-term contracts. With multiple international crises including wars and economic uncertainty, companies are having a tough time deciding how much long-term capacity and revenue targets to lock in
The AI revolution needs chips, software — and gas pipelines
Despite continued expansion of renewable and battery capacity, Texas recorded surprisingly strong electricity prices last summer and futures have also soared over the past six months. The reason? A massive expansion in power consumption offsetting the new generating capacity. Assuming the AI revolution is in its infancy, we are about to witness a marked increase in demand for electricity, and gas will play a part in meeting that
Explaining The Maldives’ tilt towards China
Muizzu is reaching out to a number of nations beside China. Diversifying foreign partnerships was one of his electoral promises. Muizzu follows a succession of leaders who have tilted towards either India or China by turn. It is really hard to put all the actions of former Presidents Solih, Yameen and Nasheed squarely in pro-India or pro-China boxes. Muizzu might pursue a similar policy straddling the India-China divide
Amid weak demand, cotton price surge adds to woes of yarn mills
The textile industry utilisation levels remain a concern globally and hence, any spurt in cotton prices would certainly tell on industry profit margins
Can India replicate the EFTA model in future trade deals?
The investment rider in the FTA with the European Free Trade Association is unique and signals a change in India’s approach to such negotiations
The strong case for a diversified portfolio allocation in FY25
The outlook for equities, fixed income and gold in the upcoming fiscal year call for a mix of caution, being bold and building a hedge
A tale of two inflations
Inflation continues to be persistent both in India and in the US, but the reasons are different
IIP numbers paint a very different picture from upbeat GDP data
If the IIP numbers are right, the production of consumer durables in January 2024 was lower than six years ago
Don’t fear AI in war, fear autonomous weapons
The existential question is not about AI as much as the degree of autonomy granted to weapons. Algorithms may make good decisions and minimise death. But the code may also fail or, more diabolically, be programmed to maximise suffering. Automation will accelerate military decisions so much that humans may have no time to evaluate a situation, and in the extreme stress either make fatal mistakes or surrender to the algorithm
ByteDance needs to sell TikTok while it can still get top dollar
Even a brief shutdown of TikTok would be cataclysmic to its value. There is strong loyalty toward TikTok from its user base, which runs to 170 million in the US alone. For years, China has blocked American tech companies from having access to its citizens. The US is under no obligation to allow China access to Americans, particularly amid heightened tensions and attendant fears of disinformation and manipulation
TMC’s Bengal list provides opening to BJP in the mother of all battles
BJP’s glee at Mamata Banerjee’s candidate choices isn’t misplaced. In 2021, she had left the BJP searching for answers with her “insider vs outsider” spin to the campaign. Meanwhile, spurning of the Congress paves the way for a split in the Muslim vote
CAA Rules: Righting the neglect and wrongs of decades
The Punjabi migration was over in a year or two of Partition but the displacement of Hindu Bengalis continued in very large volumes till 1971 and never stopped. For decades, GoI did precious little for these immigrants even as the state government machinery turned them into a votebank. Citizenship to the undocumented is belated recompense for those who lost everything on the other side of the border
Moneycontrol Pro Panorama | India's aviation market: The winner takes it all
In today's edition of Moneycontrol Pro Panorama: BJP moves to implement CAA just days ahead of LS polls, most Americans seem to prefer Trump to Biden, TMC decides to take BJP head on, where does India stand economically over Russia, and more
Lok Sabha Polls: How Arvind Kejriwal’s political ambitions have shaped up in the last decade
Among the several political entities, Aam Aadmi Party (AAP) has managed to stand out by making continuous shifts in ideology and strategy. In a few years AAP has made a swift ascent to national prominence
Stock markets undergo ‘risk reset’ as indices notch new records
Belief grows in further gains with recession fears abating and improved corporate earnings
The Macro Puzzle: What explains the big divergence between GDP and GVA
Most likely the government might have not spent heavily on subsidies while tax flows, especially GST, has been highly robust. Interestingly, the second highest difference between GDP and GVA is in 2018-19, which coincides with the period during the previous Lok Sabha election. However, one has to be careful before jumping to any conclusions as the GDP data is revised significantly in multiple stages
