Oil Approaches $50

What is driving the rise in oil prices and can it sustain?   From the lows of $27/bbl in February 2016, Brent Crude has rallied over 75% as it gets closer to the $48/bbl mark. What has changed in the last 3 months to justify a 75% appreciation in the price of crude oil? Even…

Participatory Notes

Stricter compliance may eventually make P-Notes unviable…   Regulating Participatory Notes (P-Notes) is nothing new. Back in 2007, an attempt by the Finance Ministry to curb P-Notes resulted in the indices touching the lower circuit. Later in 2012, the markets were spooked by the likely introduction of GAAR and again resulted in large-scale value destruction.…

FOMC Minutes

Does it make a case for a Fed rate hike in June? The recent FOMC minutes released during the week was interpreted by markets as a signal of front-ending of rate hikes by the Fed. There was virtual unanimity in holding Fed rates in the 0.25%-0.50% band, with just one dissenting vote at the FOMC…

IPO Listings

Are HNIs really making profit after imputing funding costs?   Over the last few weeks there has been a lot of euphoria over the way IPOs have got oversubscribed. Recent IPOs like Ujjivan and Thyrocare were substantially oversubscribed. Within the various categories, the HNI portion (Greater than 2 lakhs) got the maximum oversubscription. That is…

Macro Data

A mixed Week (Blow hot and Blow cold)   Macro data that came out over the week have been fairly mixed. While inflation came in higher than expected, the IIP growth came in lower than anticipated. The good news came from the trade front where the trade deficit for April was lowest in recent memory.…

Income Tax Refund

What you need to know about your IT refunds? A tax refund may be necessitated for a variety of reasons. You may have paid excess tax during the year or you may have submitted your investment details late as a result of which your employer may have deducted excess tax. Alternatively, you may have paid…

Kotak Pips ICICI

But the real lessons could be much bigger than market cap! As the Bank Nifty went through its share of tumult, a quite shift may be underway in the banking space. As the market cap of Kotak Bank crossed the market cap of ICICI Bank, the news did surprise a lot of analysts and fund…

Bankruptcy Code

Why it is important for Indian business… The Bankruptcy Bill was passed in the Lok Sabha and is pending to be passed in the Rajya Sabha. The Bankruptcy Bill has been demanded by industry and banks for long as it is likely to make the entire process of liquidation of business easier and less painful.…