The budget may have provided a catalyst to the markets to trigger a re-jig in asset allocations. The finance minister expects to raise ₹15.43 trillion in FY24. Of this, ₹11.80 tril ... Read more
The budget may have provided a catalyst to the markets to trigger a re-jig in asset allocations. The finance minister expects to raise ₹15.43 trillion in FY24. Of this, ₹11.80 trillion is to be raised via dated government securities. The remaining are from small savings schemes. These include post office TDs (term deposits), MIS (monthly income scheme), RDs (recurring deposits) and SCSS (senior citizens savings scheme). Incidentally, the investment limits on these schemes were doubled in the budget and coupon (interest) rates were raised a few days prior. That makes these schemes more attractive Read more
The session on Wednesday was an intriguing one for any student of market statistics. The NSE futures and options segment logged a record turnover of ₹ 401.2 trillion. It should be ... Read more
The session on Wednesday was an intriguing one for any student of market statistics. The NSE futures and options segment logged a record turnover of ₹ 401.2 trillion. It should be noted that Hindenburg’s report was already out in the public domain. That implies higher trader participation on this day. Instead of being shell-shocked, traders grabbed shorting opportunities hand over fist. This displays maturity in the markets. The fact that traders rolled over trades from January to February series also played a part in logging higher turnover. Read more
Markets rose last week to clock weekly gains. The Nifty rose on two out of five sessions, but gains were substantial enough to log week-on-week advances. In my earlier piece, I wro ... Read more
Markets rose last week to clock weekly gains. The Nifty rose on two out of five sessions, but gains were substantial enough to log week-on-week advances. In my earlier piece, I wrote about pre-budget rallies. These are triggered by traders trying to second-guess budget announcements and placing their bets accordingly. It should be remembered that the 2023 budget is the last full budget before the general elections in 2024. So a lot of hope is riding on this budget. Read more
The last few months have seen our fixed income brokers calling us frequently with ‘limited time offers’ and ‘only for you’ special deals on corporate fixed deposits. These special ... Read more
The last few months have seen our fixed income brokers calling us frequently with ‘limited time offers’ and ‘only for you’ special deals on corporate fixed deposits. These special deals offer yields above the prevalent rack rate of interest. That itself tells me cash is in short supply and coupon rates are likely to rise higher before they ease again. Read more
This week I expect the mood to be lethargic, as institutional players usually return late to the markets as January kicks in. Technology stocks are usually the first to announce th ... Read more
This week I expect the mood to be lethargic, as institutional players usually return late to the markets as January kicks in. Technology stocks are usually the first to announce their quarterly earnings, and traded volumes pick up shortly thereafter. Read more
Markets usually do what they need to do, and reasons and triggers are attributed as a post-mortem. Covid fears provided a catalyst for profit-taking. The overhang of the rising cos ... Read more
Markets usually do what they need to do, and reasons and triggers are attributed as a post-mortem. Covid fears provided a catalyst for profit-taking. The overhang of the rising cost of funds is far bigger than the risk of a fresh pandemic. Read more
Students of market history are aware of the cyclicality in the markets are can be forewarned of these vagaries. Statistical data shows December to be a highly volatile month for in ... Read more
Students of market history are aware of the cyclicality in the markets are can be forewarned of these vagaries. Statistical data shows December to be a highly volatile month for intraday or short-term traders. Read more
Last week I wrote about a Santa Claus rally in December, and the markets did not disappoint bulls. A student of the markets who remembers his lessons well on time cycles has a bett ... Read more
Last week I wrote about a Santa Claus rally in December, and the markets did not disappoint bulls. A student of the markets who remembers his lessons well on time cycles has a better chance of navigating through the markets in any calendar year. The behaviour of our markets changes with the months on the calendar, and it remains a participant’s job to adjust his sails as per the prevalent winds. Read more
Domestic mutual funds have to declare their third-quarter net asset values (NAV), whereas overseas institutions (FIIs) declare their annual NAVs. Performance is benchmarked and rew ... Read more
Domestic mutual funds have to declare their third-quarter net asset values (NAV), whereas overseas institutions (FIIs) declare their annual NAVs. Performance is benchmarked and rewarded by way of bonuses. So a bit of portfolio pumping in the markets is routine in December. In financial markets parlance, it is called a “Santa Claus rally.” Read more
It is normal for the average trader to feel a sense of foreboding around a lifetime high level. Add the sizable loss in market capitalization of digital currencies (cryptocurrencie ... Read more
It is normal for the average trader to feel a sense of foreboding around a lifetime high level. Add the sizable loss in market capitalization of digital currencies (cryptocurrencies), and you have a breeding ground for doubt, nervousness and caution. Issues like a missile falling in Poland, Chinese lockdowns and sabre rattling by North Korea and Taiwan added fuel to the fire of nervousness. Read more
