Category: Economy, Markets and Macro Views

We first reported about HCL Tech’s bid for Axon on the 4th of Sept. However, subsequently the company denied but we knew from our sources that it was only negotiating with the bankers.

HCLT intends to fund the all-cash GBP441mn ($818mn) deal through a GBP400mn loan and rest from internal cash. If all goes well, the process should complete by 1Q CY09. (more…)

India suffered its capitulation-like fall in June / July when the market fell 20% in a month. At that time, composite sentiment indicator dipped into fear zone. Since then, India has outperformed emerging markets and risen 11% in absolute rupee terms. Even though sentiment remains fragile, it is currently outside what we define as fear territory. (more…)

Continuing with measures taken last week – making NRI deposits more attractive and providing additional liquidity, RBI has stepped in to rescue the Infrastructure companies. The central bank raised the external commercial borrowing (ECB) limit for infrastructure companies to US$500 million per year for rupee expenditure from US$100 million earlier, under the approval route. The relaxed guidelines also noted that the borrowings in excess of US$100 million should have a minimum average maturity of seven years. (more…)

Like most of our readers I was also curious to figure out the constituents of the Indian Inflation Data. Finally I got to know what are the constituents of the Indian Inflation data and I thought I’ll share with our readers here. Due to lack of correct data, analyzing and calculating the same is beyond the scope of this article.

Food and Non-Food Articles in Inflation Index:
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The Indian Real Estate sector, one of the most speculative sector in the growth story and house of cards is severely beaten down on the bourses. All the Realty Stocks have hit a new LOW. They have been making new lows since June-08. The Table below shows Live Stock Prices of Indian Real Estate Stocks. We are presenting complete All Time High and Low Data for your ready reference. (more…)

If you are a regular reader here, you may have noticed that we didn’t put out any recommendation to BUY in the past 15 days but had recommended to book profits on rally. Just when everybody thought the worst was over, Frean and Panic has gripped Global Markets with Lehman filing for bankruptcy.

ICICI Bank has exposure of about USD80mn to Lehman Brothers in form of senior debt. This has triggered a fresh round of SELL of in the Indian market though domestic Institutions are BUYING. As Lehman goes under liquidation and the (more…)