Tag: reading

Sunder’s List: Bakra

Roundup: S&P -0.28%, Dow -0.13%, Nasdaq +0.08%, Gold $1,310.30, London -0.25%, Germany -0.31%, France -0.82%. At pixel: Nikkei -0.01%, Hang Seng -0.04%

Will Diwali soon go down in dictionaries as a yearly ritual in which India poisons itself? Delhi particulate matter levels were at an alarming over-5-to-9 times prescribed standards. (LiveMint)

Mutual Fund direct plans: the smart money has subscribed. Brace yourself for more tele-marketing calls as distributors try harder to find the bakra… (LiveMint)

U.S. and European companies invested heavily in recent years to expand in China. But the latest set of quarterly earnings results reveal that for many companies, China has been a drag. “We are not hearing the vast opportunistic optimism that existed, let’s say, a year or two ago.” (WSJ)

And in India, always bet on corruption, no matter what. Take the new land bill for example. Before: the state had unchecked powers to take private land for projects deemed of public interest, including private investments. Private companies have mostly relied on state procured land for big projects. But these powers were widely abused, with farmers railroaded into relinquishing land at throwaway prices usually to see the land resold afterwards for far more, with middlemen reaping windfall profits. After: “This whole process of acquisition assumes the farmer and landowner is a naive chap… and his rights have to be protected by this long-drawn out procedure. The process is so full of red tape, bureaucratese and problems it will get tied up in knots.” Also, “It is likely that land acquisition itself will end in all of urban, and most of rural India.” And as we all know, red-tape breeds corruption. (FT)

Saudi authorities carry out raids on businesses, markets and residential areas to catch expatriates whose visas are invalid. The government hopes that reducing the number of illegal workers will create opportunities for Saudi job-seekers. Good luck with that! (LiveMint)

Good luck!

Sunder’s List: Mars

Roundup: S&P +0.36%, Dow +0.15%, Nasdaq +0.37%, Gold $1,316.40, London +0.43%, Germany +0.33%, France +0.36%. At pixel: Nikkei -0.15%, Hang Seng -0.74%

India is going to Mars! The mission, expected to be launched between 2.38pm and 2.43pm today, will take a year to reach the Red Planet. The Mars Orbiter, or Mangalyaan (as it is informally named), has a 41% chance of surviving. (LiveMint, LiveMint)

South Korea, for the first time, has imported 1,500 tonne Darjeeling tea with a promise to buy more in the coming days. (ET)

Some fancy pattern matching: Bulls seen headed for slaughter house. (ET)

In this bold future, even your spell checker will be offering stock tips. (FT)

Nobody wants to buy BlackBerry. This is how true platform collapse looks like. (LiveMint)

Good luck!

Sunder’s List: stock market ≠ economy

Roundup: S&P -0.38%, Dow -0.47%, Nasdaq -0.28%, Gold $1,324.40, London -0.68%, Germany +0.26%, France +0.60%. At pixel: Nikkei -0.38%, Hang Seng -0.01%

Gold jewellery sales are likely to decline by up to 60% this festive season due to stock crunch following restrictions on imports. (ET) [stockquote]GOLDBEES[/stockquote]

Mamata’s potato politics: Mamata Banerjee’s decision to stop movement of potatoes from the state has made the tuber go beyond the reach of common people in states of Odisha, Bihar, Jharkhand, Andhra Pradesh and the entire north-east. Prices have touched the roof in most of these states with people in Assam buying a kilo of potatoes at Rs 45. (ET, inflation)

Elder Pharmaceuticals has defaulted on interest payment of Rs 261.8 crore on its debentures. (ET) [stockquote]ELDERPHARM[/stockquote]

Will independent Civil Servants Boards fly? Will we finally allow our last remaining honest bureaucrats to remain honest? Hopefully, the Supreme Court’s judgement will actually get to see the light of the day. (LiveMint)

Stocks trade based on three things: sentiment, valuation and trend. Yes, economic data feeds into these things, but it is up to the trader or investor to determine their combined favorability, an economist does not do that sort of work. The reality is that there is no such positive correlation over various periods of time between economic data and stocks in any given country. (TRB)

Good luck, Happy Diwali and have a nice weekend!

Sunder’s List: Cloud 9

Roundup: S&P -0.49%, Dow -0.39%, Nasdaq -0.55%, Gold $1,337.80, London +0.04%, Germany -0.13%, France -0.09%. At pixel: Nikkei -0.21%, Hang Seng -0.36%

Finally! The economic offences wing (EOW) has frozen all personal accounts and lockers of Jignesh Shah, Joseph Massey and Anjani Sinha. (LiveMint, scam) [stockquote]MCX[/stockquote] [stockquote]FINANTECH[/stockquote]

Indian equities have reached a new high, but the rise in the absolute value of benchmark indices is hardly cause for cheer. These peaks were first scaled in 2008, which means five-year returns are close to zero. (LiveMint)

Sequoia Capital and Matrix Partners are lead investors in a fresh Rs 100-crore investment into Bangalore-based company Cloudnine. Cloudnine will use the funds to set up 10 new centres over the next two years. (ET)

Formula One: India’s inability to appreciate the business significance of sport means that we have ended up hosting lame duck events. (LiveMint)

Life is more random than we care to admit. It’s probably because randomness implies uncertainty and a lack of control. But when we try to assign meaning to one or two events, it can blind us to what’s really happening. That said, we shouldn’t cheat ourselves out of the opportunity to take advantage of all the information we do have. And it’s rare that one moment in time will give us enough information to make the big decisions. (NYT)

Good luck!

Sunder’s List: Gold is passé

Roundup: S&P +0.56%, Dow +0.72%, Nasdaq +0.31%, Gold $1,341.40, London +0.73%, Germany +0.48%, France +0.62%. At pixel: Nikkei +1.26%, Hang Seng +0.93%

The U.S. government fines Infosys $35M, the largest immigration penalty ever, for illegally placing workers on visitor rather than work visas at major corporate clients. (WSJ) [stockquote]INFY[/stockquote]

The Reserve Bank of India continues tightening: key lending rate increased to 7.75% from 7.5%. Indian economy is stuck in a stagflationary rut. If India wants to get out of this rut the Government and the RBI have to work together. New Delhi needs to open its economy more and lower government spending which is pushing up interest rates and demand, economists said. The central government also needs to help encourage investment in the country’s overburdened supply chains, roads, ports and power plants which exacerbate inflation by adding to costs of delivery and production. (WSJ)

The cash-strapped Indian government is forcing oil companies to share an increasingly higher burden of subsidies in order to keep its deficit in check. The government will likely shift part of its fuel-subsidy burden off-budget, moving it to the balance sheets of the oil companies by once again under-compensating these firms. Taking advantage of its use of cash-basis rather than accrual-basis accounting, the government is also likely to postpone some payments to oil companies to FY2014-15, thus flattering the FY2013-14 expenditure figures. (FT)

Vodafone has officially requested approval to assume full ownership of its Indian unit, Vodafone India. The carrier is offering $1.7B to buy out minority holders, valuing Vodafone India at nearly $11B. (Bloomberg)

Five years of money printing have failed to produce inflation and the global economy has proved itself quite resilient amidst one political crisis after another. “Gold really doesn’t have much to offer. People are seeing better opportunities, whether that be in bonds or equities.” (WSJ) [stockquote]GOLDBEES[/stockquote]

Good luck!