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Fixed Income

16 years of Inflation and Bond Yields

We’ve discussed how Inflation Indexed Bonds might work in India, and like in the US, the difference in the yields between the two is likely to be the ...
Stocks

JustDial IPO: The Safety Net Clinches It

  Just Dial promoters will sell shares in an Initial Public Offer from 20th to 22nd May. They will sell 1.75 crore (17.5 million) shares at a price band ...
Commentary

Pandit buys into JM, The US is Not 1999 and More

Vikram Pandit has bought a 3% stake in JM Financial for $10 million, and they’re applying for a banking license. The group’s financial activities will be ...
Foundations

Inflation Indexed Bonds in India

If you buy a fixed income bond, your problem is that as inflation increases, your income remains the same and this gives you a much lower return, net of ...
Stocks

Market Melt-Up Takes Nifty to Reaching Distance of New High

Market investors will rejoice today as the Nifty went up 2.5% to reach 6140, in reaching distance of the all time high of 6312. (Click for larger picture) Note ...
General

There’s a Big Cash Economy in …. China.

China: In Cash We Trust (WSJ): We think of India as using a lot of cash, but in reality, China’s just as big, or bigger: Lugging nearly $130,000 in cash into ...
Charts & Analysis

Can’t Believe WPI Inflation Numbers: April 2013 at 4.89%, but Feb number revised to 7%+

Wholesale Price Index (WPI) based inflation comes in at a number you wouldn’t believe: 4.89%. But you don’t have to believe it. In Feb they told you WPI ...
Commentary

When Gold Prices Fall, India Doubles Gold Imports!

I had recently mentioned that the Gold price drop would cause the Indian Current Account Deficit to narrow, and even quantified the amount: (How Much do the ...
Charts & Analysis

CPI Inflation Falls to 9.39% in April 2013

Consumer Price Inflation Fell to 9.39% in April 2013, says MOSPI released data. The WPI for April 2013 will only be released on Wednesday, but the trend looks ...
Economy

Indian Industrial Production Growth Lowest In 20 Years, Second Lowest Ever

India’s Index of Industrial Production (IIP) data for March 2013 shows the slowest annual Industrial growth in 20 years, and the second lowest since 1982 ...