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 [...]
Archive for the ‘Economy’ Category
Weekly G-Sec update:June19, 2010
June 20th, 2010 
Praveen Bajaj  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 [...]
Posted in Economy 
Tags: 7.80% 2020, benchmark 10 year bond, inflation, liquidity, rbi, repo, Yields 
No Comments »Weekly Equity update:June 19, 2010
June 19th, 2010 Praveen Bajaj 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 [...]
Posted in Economy, Equity Tags: equity markets, foreign funds inflow, inflation, sensex No Comments »European Crisis
June 19th, 2010 Praveen Bajaj  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. [...]
China Economy Update
June 15th, 2010 Praveen Bajaj 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 [...]
WPI Inflation update: May 2010
June 15th, 2010 Praveen Bajaj  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 [...]
Weekly crude oil update:June 12, 2010
June 13th, 2010 Praveen Bajaj 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 [...]
Weekly G-Sec update:June 12, 2010
June 13th, 2010 Praveen Bajaj  After trading in a range last week, yields on benchmark 10 year bond, 7.80% 2020 bond steadily rose 9 bps for the week to close at 7.61% for the week. Surge in yields was driven by tight liquidity conditions. On all days of the week, we saw Repo window being active. Daily average of the combined [...]
Posted in Economy Tags: benchmark 10 year bond, inflation, liquidity, repo, WPI, Yields 2 Comments »Weekly equity update: June 12, 2010
June 12th, 2010 Praveen Bajaj After 2 consecutive weeks of gains, equity markets ended this week slightly below the last week’s level, loosing 0.3% or 52 points on Sensex to close at 17064.95. First two days of the week saw markets plunging 500 points to a weekly low of 16617 due to concerns of deepening Eurozone crisis. But thereafter, Wednesday onwards, [...]
Posted in Economy, Equity Tags: equity, equity markets, inflation, infotel, RIL, sensex No Comments »Auto Sector Review
June 10th, 2010 Praveen Bajaj  Friends we are very happy to post the 100th post on MoneyBol.com. In a short time we have got great response from readers and investors like you. Thanks for your appreciation for our research of Economy and Markets. We will continue our endevour to serve you with quality content via MoneyBol.  Our analysts update you [...]