Real Estate Bill

This could make a real difference to the realty business in India… The Real Estate Bill that was passed in the Rajya Sabha yesterday was the first step towards bringing greater transparency in the real estate business. In a billion dollar industry that is largely unregulated, unstructured and unwieldy, this was long awaited. The bill…

Banking Downgrade

Why this is a telling indictment of PSU Banks… In a sudden move, the rating agency CRISIL has downgraded 8 banks over asset quality issues. Of course, the issue of asset quality was always there and what this downgrade has done is to highlight the more vulnerable among the PSU banks. The 8 banks whose…

Dividends Deluge

Is India Inc likely to announce a flood of dividends? The announcement in the Union Budget to tax dividends at 10% in the hands of shareholders has given rise to a new situation in markets. Although, this applies only to shareholders receiving dividends over Rs.10 lakhs per annum, most large shareholders, investors and promoters are…

Oil Price Bounce

How feasible is a sharp bounce in the year 2016? Nobody is willing to believe that oil can bounce by 40% in the year 2016. But then, nobody expected gold to give a return of 18% in two months since mid-December 2015. A recent report by UBS points out that while oil will continue to…

Union Budget

Why are the equity markets so thoroughly impressed? On the day the Union Budget was announced, the Nifty touched a low of 6850. Interestingly, in the next 4 days, the Nifty bounced back nearly 650 points to close within kissing distance of the 7500 mark. This post-budget market rally is, perhaps, the best rally that…