Posts tagged All News
Compensation for call drops not an answer, say telcos (17-09-2015)
Flipkart, Snapdeal may be overvalued, says Vinod Khosla (17-09-2015)
Suzuki, Yamaha post double-digit growth in slowing 2-wheeler market (17-09-2015)
HC dismisses plea against Arun Jaitley’s stand on P-Notes (17-09-2015)
The Delhi High Court on Thursday dismissed a plea seeking a probe into finance minister Arun Jaitley’s July press statement that assured the investors that the government will not take any “knee-jerk” reaction (on circulation of Participatory Notes) that will adversely impact country’s investment climate.
The finance minister had issued the statement after the Supreme Court-appointed special investigation team (SIT) on black money had suggested that market regulator Sebi should take stronger measures to identify the owners of P-notes and offshore derivative instruments, and also take steps to curb black money and tax evasion through the stock market route.
Terming such a statement by the finance minister as “illegal and unconstitutional,” the petition filed by one ML Sharma, a lawyer, contended that the press statement was contrary to various laws like money laundering, and therefore a CBI probe should be initiated into it. He also sought setting aside of the press release, a demand that additional solicitor general Sanjay Jain rejected outrightly.
A bench headed by Justice BD Ahmed while dismissing Sharma’s plea observed that a recommendation by the SIT on the issue of P-Notes was not the Supreme Court’s direction and, therefore, a stand contrary to this was not against the laws, as argued by Sharma.
The judges said that the entire case relied heavily on the assumption that P-Notes are illegal, which government has convincingly proved to be false. Jain had argued that P-Notes investment through FPIs in India are well regulated and Sebi guidelines cover offshore Derivative Instruments such as P-Notes, equity-linked notes, etc.
The bench also directed Sharma to withdraw parts of his plea that had cast aspersions on Jaitley in the form of “innuendo” and warned that any non-compliance would attract fine. The court, however, rejected the government’s demand to impose “exemplary cost” on the petitioner for initiating such a case.
India ranks 81 among 141 countries (17-09-2015)
India ranks 81 among 141 countries on the Global Innovation Index (17-09-2015)
Public debt rises 3.5% in June quarter (17-09-2015)
Page industries (17-09-2015)
Gruh first corrected from 300 levels and is hovering near 240 which is 20% down. Page has indeed corrected the most from its top in recent history. But volatility has seen a general increase in this counter since inclusion in FnO.
Page is my top holding and at 45x 1-year forward (my estimate) its starting to look interesting. If it follows same pattern as Gruh then there will be ample opportunities to buy.
Not a reco. Standard disclaimers apply.
India impact: Deferred US Fed rate hike may calm investors, halt FII outflow (17-09-2015)
![BSE Sensex](http://images.financialexpress.com/2015/09/BSE-Sensex-EP.jpg)
The foreign institutional investors have already pulled out over Rs 20,000 crore from the Indian equities since August 1, 2015. (Express Photo)
Following the prevailing uncertainties in the global markets and in line with growing calls to defer its interest rate hike amidst the prevailing market volatility, the Federal Reserve decided to keep federal funds rate unchanged at 0-0.25 per cent for now. Market experts say that the decision would provide the markets a sigh of relief as a rate hike would have spooked already weak investor sentiments in emerging markets.
The foreign institutional investors have already pulled out over Rs 20,000 crore from the Indian equities since August 1, 2015 and over Rs 1,500 crore from the domestic debt following concerns of slowdown in China and other emerging markets, but Thursday’s decisions may ease the nerves for now and limit the fund outflows from emerging markets including India. “The decision to defer the rate hike has finally put at rest the confusion that prevailed in the market as the markets were nervous. While it is good for the risky assets such as India, the decision should lead to a relief rally in markets over the next few days before fundamentals take over,” said Ritesh Jain, CIO, Tata Mutual Fund.
“We were prepared for a modest increase in rates by US Fed. No ripples for the present.We will continue to focus on our stability.” Shaktikanta Das, Economic Affairs Secretary (via Twitter)
“We have multiple layers of defence to deal with US Fed rate action which we have already built.” Jayant Sinha, Minister of state for Fiannce
While the market participants were prepared for a rate hike by the fed and an expected volatility in the stock market, debt and currency markets, the government and RBI too seem prepared for the same. On Thursday, Jayant Sinha, minister of state, Finance, said that India is well prepared for a rate hike. “RBI is well-prepared to deal with Fed rate hike and RBI governor is seized of the situation,” said Sinha adding that, “We have multiple layers of defence to deal with US Fed rate action which we have already built.” RBI has built forex reserves worth $350 billion to take care of volatility in volatility.
But now that the event has finally happened and it is known that there will be no outflows from the markets for now, the benchmark indices in India and across other emerging markets are set to witness gains.
While rupee is expected to tradestable against the dollar, both the Indian equities and debt markets are expected to
remain stable.