Category: Economy, Markets and Macro Views

RBI’s latest measures are specific to exporters, real estate, FCCBs and the SME sector – all of which is a step forward towards easing problems currently being faced by each of these segments.

RBI has further raised the interest rate ceiling on NRI deposits by 75bps. The interest rates on FCNR(B) deposits now stands at Libor +100bps while that on the NR(E)RA deposits is now at Libor +175bps. (more…)

Shankar Sharma of First Global echoed his views that he had done in Samvat Trading – Short India, take the profits on table wherever they appear and stay Liquid.

Here is an excerpt from the report,
GDP Growth to Slowdown, China could well be in the 6-7% range, and India, in the 4-5% range, in the coming year. The reasons for this will be different. India, with its lack of internal resources, and over-reliance on foreign capital for its growth. China, for its dependence on the US for export growth. (more…)

In an analysis by HSBC about the top 10 questions on the minds of foreign investors for investing in Asia, the outlook for India is gloomy with the slowdown and general elections, approximately 6 months away.

No of Investors argued that the cyclical downturn in India may turn into a full-blown slump as global financial problems start to spill over into the economy. However, HSBC firmly defended that there one should not be worried. (more…)

This report is quite scary but we gotta face the truth and read into the data of Technical Analysts. ENAM Research has studied the SENSEX charts of the past 30 years and according to them, the correction is still not over.

India has witnessed a Grand bull market in the past 30 years, with intermittent bear markets commencing after every 8 years. Indian markets have experienced significant bear markets/consolidation after peaking out higher every 8 years; that is, after forming a high in the years 1985, 1992, 2000 and 2008. (more…)

Titan reported a 53% increase in sales and 88% net profit growth. Moreover, sales growth of both the watches and jewellery divisions was satisfactory; both posted handsome margin expansion. EBIT margins expanded 270bp on mix gains, ahead of expectations, as premium-end Titan and Fastrack continued to grow significantly faster than mass-end Sonata. Titan Eye+ store roll out is on track with 34 stores at the end of the quarter; target being 60 stores by FY09 end. (more…)

DLF India’s largest realty company reported revenue growth of 15% YoY, while EBITDA and earnings declined 2%-4%. DLF sold ~3.12msf driven by mid-income housing (up 26% QoQ) with festive season good as well. Pre-leased 8msf YTD at rentals of Rs50/sf with backlog thru Dec’09. The company sees low visibility on softening demand ahead. (more…)