Why Indian Markets should give good returns
(i) The Interest Rate has started to come down, which will help the Indian Infrastructure and Real Estate companies to take up projects in a large way. This is expected to help in cooling down inflation a bit. Moreover, inflation is positive for the companies, as they might be able to get better value for their produce (though some say, the real value of money goes down due to inflation--but that is only for the temporary period).
(ii) The Crude Oil is falling and a fall in Rupee against the USD has started to get arrested due to large scale RBI Intervention. Both these are positive for the Indian Economy.
(iii) The fall in crude price will help in balancing the oil pool account more effectively and at the same time, fall in the rupee would boost export earnings.
(iv) Since, there is some indication of some direction coming out of Greece, we can say, we would slowly find a way out in Europe. Greece is a very small economy and we need not worry much. Nothing much will happen even if the Greece fails, because of its very small size. Moreover, in a recent meet, euro finance ministers has said that Greece might get more time to meet budget-cut targets. All these talks of Greece exiting the Euro in the media are simply info with no real effect.
(v) Greece cannot leave Euro according to the conditions set in the treaty, So all these talks of its exit from the EU is simply a media hype and nothing else. “Nobody was mentioning an exit of Greece from the euro area,” Luxembourg Prime Minister Jean-Claude Juncker said last night after chairing the meeting of euro finance ministers. “I don’t envisage, not even for one second, Greece leaving the euro area. This is nonsense, this is propaganda.”EU treaties declare the euro “irrevocable” and provide no exit procedure. A December 2009 study by the ECB’s legal department deemed an ouster or departure “so challenging, conceptually, legally and practically, that its likelihood is close to zero.”
(vi) The deepening slowdown in China may dampen demand for raw materials, which is positive for the Indian companies. The gauge has fallen 2.2 percent so far this year. Gold fell 0.7 percent, entering a so-called bear market and this gives opportunity to invest in the equities because, they are generally inversely related;
(vii) Japan’s economic growth probably peaked in the first quarter, a Bloomberg News survey showed ahead of a report tomorrow. Analysts forecast the pace of expansion will halve by year-end as the boost from earthquake reconstruction fades. While in case of India, the GDP growth is one of the lowest and hence the chance of moving higher up the value chain is much greater than for Japan. This might attract FIIs to invest in Indian equities. MORE COMING....
(v) Greece cannot leave Euro according to the conditions set in the treaty, So all these talks of its exit from the EU is simply a media hype and nothing else. “Nobody was mentioning an exit of Greece from the euro area,” Luxembourg Prime Minister Jean-Claude Juncker said last night after chairing the meeting of euro finance ministers. “I don’t envisage, not even for one second, Greece leaving the euro area. This is nonsense, this is propaganda.”EU treaties declare the euro “irrevocable” and provide no exit procedure. A December 2009 study by the ECB’s legal department deemed an ouster or departure “so challenging, conceptually, legally and practically, that its likelihood is close to zero.”
(vi) The deepening slowdown in China may dampen demand for raw materials, which is positive for the Indian companies. The gauge has fallen 2.2 percent so far this year. Gold fell 0.7 percent, entering a so-called bear market and this gives opportunity to invest in the equities because, they are generally inversely related;
(vii) Japan’s economic growth probably peaked in the first quarter, a Bloomberg News survey showed ahead of a report tomorrow. Analysts forecast the pace of expansion will halve by year-end as the boost from earthquake reconstruction fades. While in case of India, the GDP growth is one of the lowest and hence the chance of moving higher up the value chain is much greater than for Japan. This might attract FIIs to invest in Indian equities. MORE COMING....
MORNING CALL TO THE PAID SERVICE MEMBERS: Premium Members can start buying Nifty Futures at Mini_Nifty at 4844, T--4900, SL--4800.
Accumulate Allied Digital Services Ltd at Rs.21.50, for a target of Rs.27-29-31, in the next 2 months time frame. The company is doing well and has started to get orders. Moreover, it is expected to get benefited from the fall in the INR Vs USD. The Premium members were already asked to buy the shares of the company.
Accumulate Allied Digital Services Ltd at Rs.21.50, for a target of Rs.27-29-31, in the next 2 months time frame. The company is doing well and has started to get orders. Moreover, it is expected to get benefited from the fall in the INR Vs USD. The Premium members were already asked to buy the shares of the company.
Accumulate Kohinoor Broadcasting Corporation Ltd in the lower circuits at Re.0.75. Please do not look at the dead Q4FY12 results and take decisions. The company is doing well and its solar energy project is expected to get completed in the next year.This is the address and phone of number of Chartered Accounting managing the accounts of Kohinoor Broadcasting Corporation Ltd:
Amit K. Arora & Co
Chartered Accountants
421, Sector 9, PANCHKULA
Phone: 0172--2586067
Mobile: 9814114833
E-mail: aka_ca@sify.com
Amit K. Arora & Co
Chartered Accountants
421, Sector 9, PANCHKULA
Phone: 0172--2586067
Mobile: 9814114833
E-mail: aka_ca@sify.com
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