Opening Bell 27.08.2014

Your world at 9am

world.2014-08-27

Equities

Major
DAX(DEU) +0.82%
CAC(FRA) +1.18%
UKX(GBR) +0.70%
NKY(JPN) +0.03%
SPX(USA) +0.11%
MINTs
JCI(IDN) +0.33%
INMEX(MEX) -0.02%
NGSEINDX(NGA) -0.25%
XU030(TUR) +2.07%
BRICS
IBOV(BRA) +0.14%
SHCOMP(CHN) +0.22%
NIFTY(IND) -0.02%
INDEXCF(RUS) -0.68%
TOP40(ZAF) +0.58%

Commodities

Energy
Brent Crude Oil +0.27%
Ethanol +0.00%
Heating Oil +0.00%
Natural Gas +0.59%
RBOB Gasoline +0.29%
WTI Crude Oil +0.07%
Metals
Copper +0.00%
Gold 100oz +0.00%
Palladium -0.12%
Platinum +0.08%
Silver 5000oz +0.00%

Currencies

USDEUR:+0.01% USDJPY:-0.07%

MINTs
USDIDR(IDN) +0.13%
USDMXN(MEX) -0.01%
USDNGN(NGA) -0.05%
USDTRY(TUR) +0.05%
BRICS
USDBRL(BRA) -1.17%
USDCNY(CHN) -0.08%
USDINR(IND) -0.21%
USDRUB(RUS) +0.04%
USDZAR(ZAF) -0.04%
Agricultural
Cattle +0.00%
Cocoa +0.73%
Coffee (Arabica) +5.47%
Coffee (Robusta) +1.06%
Corn -0.07%
Cotton +0.00%
Feeder Cattle -0.07%
Lean Hogs +0.92%
Lumber +0.09%
Orange Juice +6.51%
Soybean Meal +1.03%
Soybeans -0.05%
Sugar #11 +2.41%
Wheat +0.28%
White Sugar +0.54%

Must reads

The Mutual-Assured-Destruction that is the SC verdict on Coal-gate: Power, Metal, Banks are all on the block. The SC does understand the gravity of the situation. We’ll know on September 1. (LiveMint, FT)

Blue Dart: at least somebody has to make money off e-commerce. (DNA) BLUEDART 4,722.00 121.55 (2.64%)

Tata Global: we are going to be all over the place and in premium too. (DNA) TATAGLOBAL 153.05 0.10 (0.07%)

India and China share one common pain point: what to do with State Owned Enterprises (SOEs) who end up sucking most of the capital away from productive use? (FT)

Some people just don’t get it: Vandana Shiva, “the Gandhi of grain”, believes that the Green Revolution destroyed India’s traditional way of life. “Until the 1960s, India was successfully pursuing an agricultural development policy based on strengthening the ecological base of agriculture and the self-reliance of peasants. By shifting the focus of farming from variety to productivity, the Green Revolution actually was responsible for killing Indian farmers.” What if you are poor and hungry, lets all hold hands and sing Kumbaya. (NewYorker)

Good luck!

Consumption-based asset pricing model

Most theories of how the stock market works are based on the idea that investors sit around thinking about what a stock might be worth. Together, by buying and selling stock, Mr. Market comes to some conclusion.

But the consumption-based asset pricing model says that’s not the way it works at all. Investors, actually, spend very little time thinking about whether a company’s shares are undervalued or overvalued. Instead, most investors make their investment decisions based on how much money they have and when they will spend it.

Source: How market selloffs happen

Origins of Stock Market Fluctuations

  1. On a quarterly basis, risk aversion shocks explain roughly 75% of variation in the log difference of stock market wealth.
  2. Over the long term, factors share shock that shifts the rewards of production between workers and shareholders plays a larger role in stock market returns.
  3. By contrast, technological progress that rewards both workers and shareholders plays a smaller role in stock market fluctuations.

Read the whole thing:

Opening Bell 26.08.2014

Your world at 9am

world.2014-08-26

Equities

Major
DAX(DEU) +1.83%
CAC(FRA) +2.10%
UKX(GBR) -0.04%
NKY(JPN) -0.37%
SPX(USA) +0.48%
MINTs
JCI(IDN) +0.05%
INMEX(MEX) +0.48%
NGSEINDX(NGA) -0.54%
XU030(TUR) +0.59%
BRICS
IBOV(BRA) +2.27%
SHCOMP(CHN) -0.23%
NIFTY(IND) -0.09%
INDEXCF(RUS) +0.56%
TOP40(ZAF) +0.49%

Commodities

Energy
Brent Crude Oil +0.15%
Ethanol +0.00%
Heating Oil +0.16%
Natural Gas -0.10%
RBOB Gasoline +0.21%
WTI Crude Oil +0.20%
Metals
Copper +0.00%
Gold 100oz +0.00%
Palladium -0.44%
Platinum -0.21%
Silver 5000oz +0.00%

Currencies

USDEUR:-0.05% USDJPY:-0.15%

MINTs
USDIDR(IDN) -0.02%
USDMXN(MEX) -0.00%
USDNGN(NGA) -0.02%
USDTRY(TUR) +0.02%
BRICS
USDBRL(BRA) +0.48%
USDCNY(CHN) -0.03%
USDINR(IND) +0.15%
USDRUB(RUS) +0.16%
USDZAR(ZAF) +0.07%
Agricultural
Cattle +0.00%
Cocoa +0.00%
Coffee (Arabica) +0.50%
Coffee (Robusta) +0.00%
Corn -0.28%
Cotton +0.00%
Feeder Cattle -0.06%
Lean Hogs -0.16%
Lumber +0.00%
Orange Juice -1.54%
Soybean Meal -2.07%
Soybeans -1.71%
Sugar #11 -1.92%
Wheat +0.51%
White Sugar -1.46%

Must Reads

What the Supreme Court decision on Coal-gate in numbers (DNA):
33 – captive coal blocks
19 – belong to private sector
53 million tonne – annual output at these blocks
18,000 MW – power production these are linked to
METALS, ENERGY

Delhi based PACL ran a 50,000 cr Ponzi scheme. (FP)

Despite faster growth in production, vegetable prices have only increased over the past decade. Why? (LiveMint, #inflation)

Good luck!