MPC Minutes

There seems to be unanimity over monetary dovishness… What is unique about the recently constituted Monetary Policy Committee (MPC) is that the detailed minutes of the MPC will be made public exactly 14 days after the policy announcement. This is a great step towards transparency. The minutes do not just capture the gist of the…

Essar Rosneft Deal

Finally, deleveraging is catching on and that is good for banks… The recent $10.5 billion acquisition of Essar Oil by a consortium led by Rosneft of Russia is significant is many ways. The deal of course values the company at $6 billion and also takes over the company’s debt worth $4.5 billion. To skirt the…

Reliance Q2

Impressive, but concerns over the Jio overhang continues… Reliance announced its results on 20th October and the results were largely in line with expectations. While the net profits were marginally up on sequential basis, it was sharply up compared to the corresponding quarter last year. The big disappointment was on the Gross Refining Margins (GRM)…

UK Pound

It is getting pounded and it could get worse… The UK£ recently touched a low of $1.18/£, which is the lowest level for the Pound in over 30 years. Over the last 30 years, the Pound has crashed during its ejection from the ECU in 1992 and later during the financial crisis in 2009. On…

Trade Data

Good news finally comes on the exports front… The trade data for the month of September 2016 released on October 14th has some interesting takeaways. There was a clear growth of 4.62% in dollar terms. This growth in exports was largely driven by growth in exports of gems and jewelry as well as engineering goods.…

CPI Inflation

Heading lower and looks sustainable too… The CPI inflation for the month of September came in at 4.31% much lower than the 5.05% reported in August. Over the last 2 months, the CPI inflation has fallen by 176 basis points. This brings the inflation rate largely in tune with the government’s long term goal of…

Gas Price Cut

Cheap gas must now help India like cheap oil… Cutting the price of gas was never a question of whether but when. With global gas prices falling sharply, there was never any doubt that the government will cut gas prices. After all, the Indian gas pricing formula considers the weighted average of global gas prices…

Twitter For Sale

Why is one more social media giant going under the hammer? Over the last few weeks, buyers like Facebook, Salesforce and Google have been trying to make a serious bid for Twitter. While valuations may still be a grey area, nobody doubts the intrinsic value in having the Twitter franchise as part of their portfolio.…

Surgical Strikes

How much will it impact Indian markets? In the wee hours of September 29th, the Indian army carried out a series of surgical strikes on terrorist installations in the area adjacent to the Line of Control (LOC) in Pakistan Occupied Kashmir (POK). Even as India continues to congratulate itself, it may be time to sit…