Govt Securities update:June 26, 2010
Jun 27th
For the first 4 days of the week, government securities moved in a range. Benchmark 10 year bond, 7.80% 2020 bond moved in between 7.55% and 7.61%.
Results of buyback of securities, in which RBI accepted amount of Rs 806 cr against a notified amount of Rs 10,000 cr. This led to a slight increase in [...]
Equity market update: June 25, 2010
Jun 26th
Markets started the week on a positive note with Sensex rising 305 points or 1.7% to close at 17,876.55 on Monday on positive global cues due to China announcing that it will take measures to make yuan float more freely against dollar and other foreign currencies (Click here for MB update).
After that, index moved in a [...]
India to move to market movement based oil prices
Jun 25th
The Empowered Group of Ministers (EGoM), headed by Finance Minister Pranab Mukherjee, have decided in the meeting just now that India oil prices such as petrol and diesel prices will be determined by market.
Details of the same, as to how this exactly will be carried out will be disclosed later and we will update you [...]
China decides on ending Yuan peg
Jun 21st
Facing growing pressure from around the world, The People’s Bank of China (PBOC) announced on Saturday that it is prepared to allow the country’s currency to float more freely against the dollar and other foreign currencies. The bank said that “this step is in view of the recent economic situation and financial market developments at [...]
Weekly G-Sec update:June19, 2010
Jun 20th
High inflation released on Monday set the tone for the week. As expected, with the release of inflation above 10% mark, yields on benchmark 7.80% 2020 bond rose 8 bps to close at 7.69% on Monday under fears that RBI might be forced to raise rates to tame inflation. Rates also rose after comments from [...]
Weekly Equity update:June 19, 2010
Jun 19th
Moved by strong IIP numbers last week, Sensex continued its upward journey, rising 273 points on the first day of the week. Equity markets almost ignored the high inflation number.
The buoyancy continued for the week and markets touched a high of 17,616 on Thursday, its highest since April 27. This was the 7th consecutive day of [...]
European Crisis
Jun 19th
European Crisis: Snow Ball Effect
The phrase Snow Ball effect draws its analogy with the rolling of a small snow ball down a snow-covered hillside. As it rolls the ball will pick up more snow, gaining more mass and surface area, and picking up even more snow and momentum as it rolls along.
This is precisely what [...]
China Economy Update
Jun 15th
In Economics the term stagflation refers to a situation where the inflation rate is rising along with a fall in output levels.
Many eminent economists believe that In China, this could be a possible situation shaping up. Some of the most recent facts that highlight the same are:
On Friday the Chinese government released the figures for [...]
WPI Inflation update: May 2010
Jun 15th
The WPI for the month of May’10 stood at 10.16% compared to the previous month’s figure of 9.59%. The inflation numbers were higher than the street expectation of 9.56% and recorded a double-digit growth for the first month after trying to avoid it for so many months consecutively, leaving a negative impact on the masses
The [...]
Weekly crude oil update:June 12, 2010
Jun 13th
Carrying over from the negative sentiment created by weaker than expected US Employment report last week, crude oil started the week on a lower note, but then steadily increased for the week.
Prices rose on 4 out of 5 days of the week. Oil inventories at US declined 1.8 mln barrels this week compared to 0.9 [...]
