Roundup: S&P -0.43%, Dow -0.43%, Nasdaq -0.12%, Gold $1225.50, London -0.18%, Germany -0.61%, France -1.17%. At pixel: Nikkei +0.17%, Hang Seng -0.22%
Jignesh Shah’s defense: “Oh really?! I didn’t knew!” (WSJ) [stockquote]MCX[/stockquote] [stockquote]FINANTECH[stockquote]
Rural demand for personal and home care products has begun to taper off. Growth across rural markets between January and September slowed to 4% from 7% in the year-ago period. Urban growth (across categories) declined from 8% to 2% in the same period. (LiveMint, CONSUMER GOODS)
Private-equity investors aren’t convinced the rupee’s decline is over. Cheap money from the West will go away eventually and the rupee’s value will be determined by India’s economic health. In the long term, India’s persistent inflation looks to be a negative factor, as it erodes the purchasing power of the currency. (WSJ, #inflation)
Interest rate futures would be permitted on 91-day treasury bills, two, five and ten year government bonds. But the regulators have capped the amount of trades that foreign investors could do. They cannot use this for trading, but use it only for hedging. Also, the RBI has said banks shall not participate in IRF trading till it approves. (ET)
Wall Street analysts, big-picture strategists and powerful consultants have turned cold on oil, metals and grain futures as a decade-long rally peters out. Of 912 hedge funds, money managers and proprietary and corporate trading desks surveyed by Barclays, only 6% said commodities will generate the best returns in the next three months, while a majority picked equities. (FT)
Banks and hedge funds stealthily creating ‘hit lists.’ Indonesia, Thailand, Malaysia and South Africa are now very vulnerable to currency swings. Hungary, China, Korea, Poland, the Philippines and Mexico are less vulnerable, since all of these, excluding China, have seen improvements in their current account positions. India lies somewhere in the middle of Nomura’s ‘hit list.’ (FT)
Good luck and have a nice weekend!