Motilal Oswal has said in its latest report that the corporate profit to GDP ratios for both the Nifty500 universe and listed India Inc have contracted slightly, reducing to 4.1 percent and 4.3 percent, respectively
Warren Buffett described the Mcap/GDP ratio as the single best measure of where valuations stand at any given moment.
Speaking to CNBC-TV18 Sandeep Bhatia, Head of Equity, India at Macquarie said that markets could trend down over the next couple of months. Any 10 percent correction from current levels will be reasonable, he maintained.
Emerging markets are increasingly becoming vulnerable to global shocks after a decade-long build-up of debt, with the Asia Pacific region, including India, seeing the largest growth in external borrowings, says a report by Moody's.
A strong pitch for bringing out a white paper on the state of the economy will be made by the Congress in the Budget session of Parliament beginning on February 23, a move it claims will expose the "boastful" assertions of Prime Minister Narendra Modi.
Moody's, which has never changed the United States' triple-A rating, said the rating was supported by factors including a strong record of gross domestic product growth and the status of the US dollar and Treasuries as the global reserve currency and bond market benchmark.
A credible and effective quantitative easing (QE) programme can provide support to sovereign ratings and potentially reduce the risk of downgrades, relative to the counter-factual of no action, says Fitch Ratings.
Sunidhi Securities expects the savings in subsidy burden mainly due to the fall of crude prices, to be diverted towards capital spending which will help to kick start the investment cycle to some extent though much will depend on reform agenda and policies to push investments into the economy.
Expect the government to tinker around with tax rates in order to meet revenue or other economic objectives. However, we do not anticipate a major overhaul of the taxation system since the government is already working on implementing GST from April 1, 2016. We expect it to postpone general anti-avoidance rules (GAAR) by a few years, says Kotak.
Karvy Commodities Broking has come out with its report on gold and silver. According to the research firm, fed is projected to announce a third round of asset purchase, dubbed as quantitative easing. So, with expectation of QE weighing on the dollar, gold is likely to bid high.
Fitch Ratings has revised India's outlook to negative from stable. Its Long-Term Foreign- and Local-Currency Issuer Default Ratings (IDRs) have been affirmed at 'BBB-' and Short-Term Foreign Currency at 'F3'. India's Country Ceiling is also affirmed at 'BBB-'.
The competition among the country's home loan providers is relatively mild, in comparison to many other businesses, and has remained largely unchanged in the last seven years, a report has said.
CRISIL Research, India’s largest integrated and independent research house, identifies fiscal discipline, productivity improvement and petroleum pricing reforms as the three key steps to pull the Indian economy out of the high-inflation trap.