Tuesday, May 31, 2016

How Media-Operator Unholy Nexus is active in the Indian Markets.....!!
Yes, these days the business channels and print media is playing a big role in giving a casino type movement to the Indian Stock Markets. There cannot be a 2nd opinion that Indian Markets are immature. Taking advantage of this loophole, the operators have become very active, to churn out "Money" from the Indian Markets. 
Now, it is also a well known fact that most Indian investors want to earn money without much hard work and that too on their own or alone (they do not want to take the help of Paid Experts); even if their Rs.1.30 crore becomes Rs.1.30 lakhs in one year. 

Anyway, these people, buy or sell whatever their "Gurus" behind the Television cameras shoot them. These so called experts have no accountability. In a day, they recommend 100s of stocks leaving most traders bewildered and confused, as to which one to buy, as the recommended counters, rhyme with the 1980s super-hit Bollywood number: "Jeele Le Jeele Le, Aayo Aayo Jeele Le"; vacillating savagely, between the bounds.... 

Most of these recommended stocks never reach their targets, even after high publicity by the media anchors and so-called experts. The media channels also do not bother to show at the end of a month, how many of these recommendations actually generated profits for the investors, in the period mentioned. But then our regulators like SEBI or the stock exchanges, look at the other side, while this "Holy-Shit", goes on, day in and out. 

Few days back the State Bank of India Ltd came out with Pathetic Q4FY16 results. Seeing the results, I exited from the counter with no loss no gain.....but then miracle happened suddenly: stock started to move up after a buy recommendation from Ashwini Gujral, came popping out from a TV-channel. However, its violent upward movement started when one market-man named, S P Tulsiyan surprisingly commented that the results are excellent and even recommended a BUY on SBI. 

It is pertinent to mention here that the same gentleman (Tulsiyan) commented only a couple of weeks back, after the results of Punjab National Bank, that he would never touch the PSBs in the couple of quarters. It is not known why this person suddenly started giving buy calls in Public Sector Banks  - - may be the same OPERATOR--ANALYST - MEDIA-NEXUS is in play....

Then there are rating agencies and research houses, which upgrades or downgrades a stock based on their whims and their nexus with Operators. 

Few months back, an US based research house gave a sell rating on Rolta India Ltd just on the basis of some accounting practices. At once the market swallowed the news and selling started heavily in the counter, even though the company clarified time and again, the reasons for such accounting practices. Most of the traders, I believed sold the scrip, without understanding the heads and tails of that report. 

The media has become so much heavy, that the traders/investors, never care to think, what they are doing is correct or incorrect. Why they will think, when they get ready made movements in the scrips depending upon the intensity of the advertisements by the media..? Now, this has become the easiest way of earning money--come in front of Television and advertise the counters. 

Today, also Rolta India Ltd came out with excellent results.  Its consolidated net profit has grew by 64.4%  to Rs.59.21 crore for the quarter ended March 31, 2016. 

Meanwhile, Global rating agency Standard & Poor's today lowered its long-term corporate credit rating on Rolta India Ltd to 'CCC-' from 'B+' for missing on interest payment on unsecured notes. It seems the bears were ready for the news. The stock got sold off from the opening bell or from 9.15 am. This selling could not  be reversed even through the CMD of the company came and confidently said, that the said money would be paid within the grace period and one of the office bearers of this rating agency, Mr.Ashutosh Sharma, said, "We do not have any information on the company’s current liquidity position, which seems to have unexpectedly deteriorated (look at the word "Seems"--means no clarity, only speculative bet). We believe the company has a credible plan to meet its debt obligations over the next six to 12 months”. 

But still then stock could not recover, during the whole day, and closed at the days low. 

It seems these rating agencies have tied up with a big BEAR CARTELS, or else why on these kinds of speculative news, the downgrades are done and the stock reacts immediately....? Will SEBI care to investigate the motives of these rating agencies and research houses...? 

Now, let us come to Mcleod Russel Ltd. The company came out with not so bad consolidated numbers and even gave a strong guidance, stating the reasons why they would wish to see to and improved performance in FY17. But then unfortunately, most in the media presented the standalone results, which does not mean much, in case of a global company. 

The question is: Why was standalone results are presented when it is customary to give importance to the consolidated results for global companies, unless there is something fishy out there?

Not only that, at once sell recommendations started pouring from these so-called experts in sundry Television Channels, with targets varying from Rs.170-173. I do not know the reasons for sudden bearish outlook, inspite of the company giving positive guidance, and Meleod Russel Ltd, being the largest tea company in the world. 

It shows how MEDIA-OPERATOR-NEXUS is active in DALAL STREET and Narendra Modi government has no power to bring an end to this issue. 

During his 2-year tenure, Narendra Modi government's FM, has done precious little to revive the Indian capital markets. But if one argues on this, Modi--tards will behave with you so roughly and abuse you in every forum, that next day, you would not feel to write again on the topic.... 

It is true, that those who voted Narendra Modi, to get a good governance are now probably banging their heads on the walls; for the terrible mistake they have committed. Inspite of a reputed global media house, listing the achivements of Narendra Modi government, the Indian Stock Markets, are not ready to buy that statistics. 

The Maruti Van driver from Mira Road (Bombay--MMR), Mr. Muhammad Mustaquain Sheikh probably gave the essence of the current situation, when he said, "People are now slowly understanding, how they got swayed by the high voltage propaganda of Narendra Modi and voted for him. Sir, you all voted for him, and now what is use of crying over the spilt milk. Everything revolves around Capital Markets, if that is not made strong, then nothing will work".  

Yes, Mr.Sheikh, if not the first line, your last line is absolutely correct; I have never seen such a knowledgeable, driver in my life....may God help earn money from the markets once again.  

It remains to be seen, when the TV analysts will stop recommending individual stocks to the gullible investors and if this government is able to bring an end to this clandestine Media-Analyst-Operator-Nexus. This market is suitable for those who are a part of this "Clandestine Axis". 

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