Indian Stock Market

[krish44]

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Indian stock market is steadily spiralling downwards.

Sensex is reaching 10700 range. FPI,NRI are getting out of the market.

Domestic investors are getting into gold and are sticking to one or two shares which are safe and positive.

Most have withdrawn from the market and watching from sidelines,

Retail investors better stay away as further lows are expected.

WE are already in recession or close to it.

FD rates are further being lowered.SBI gives 7.2% as against 7.8 of HDFC bank and 8% of indusind.

There are no takers for car loans as automobile sector is in downturn. Many are laying of workers in auto and

ancilliaries.

Many housing companies like dewan housing, DLF are in finacial soup.

Yes bank with exposure to CG power, DHFL is hitting new lows - around 58 from highs of 100 plus

Nifty bank is hugely negative.

Many sarkari banks are close to their book value.

Private banks are not far behind.

New scams come out everyday.

PMO is trying to allay fears of industrialists who are bitterly complaining about the investment scene.

It requires a brave heart to invest in this market.

 

[Janaki Jambunathan]

There are no takers for car loans as automobile sector is in downturn. Many are laying of workers in auto and ancilliaries.(#27)

Maruti Kia Renault Hyundai have released new models in the last 10days!

This defies logic when there are no takers!

Yes bank with exposure to CG power, DHFL is hitting new lows - around 58 from highs of 100 plus(#27)

Yet Yes bank issue (QIP) is over subscribed 3 times !

 

[krish44]

Shares like yes bank,india bulls housing finance,DHFL are highly speculative shares.

My share broker [A south indian company] thinks that they should protect me and do not let me invest in these

shares in a volatile market. Yet these are the shares which will give fast short time returns.

Basically it is a traders market now . Make a couple of thousands a day with a bit of luck and square off

positions at the end of day.

Our FMs booster dose yesterday giving relief to FPI, releasing 70000 crores to PSU banks, and other measures

should help markets recover on monday.Let us see

 

[krish44]

If one plays in the share market buying some and selling equally fast, one loses respect for hard earned money.

Money only becomes scraps of paper one plays with with no emotion attached to it.

As a matter of principle, I always spend off all the ill gotten gains from the market on holidays and pleasure

activities . I do not remember later what happened to this money later.

I can kick the bucket with a clean conscience that I am not leaving this money to anyone else .Younger generation

ought to work hard to earn their living and not become speculators and hoarders.

 

[prasad1]

If one plays in the share market buying some and selling equally fast, one loses respect for hard earned money.

Money only becomes scraps of paper one plays with with no emotion attached to it.

As a matter of principle, I always spend off all the ill gotten gains from the market on holidays and pleasure

activities . I do not remember later what happened to this money later.

I can kick the bucket with a clean conscience that I am not leaving this money to anyone else .Younger generation

ought to work hard to earn their living and not become speculators and hoarders.

The money earned in the stock market or any other investment is not "ill-gotten". It is legit and hard-earned.
It is earned by utilizing your brain power as opposed to using physical work.

 

[Janaki Jambunathan]

If one plays in the share market buying some and selling equally fast, one loses respect for hard earned money.

Money only becomes scraps of paper one plays with with no emotion attached to it.

As a matter of principle, I always spend off all the ill gotten gains from the market on holidays and pleasure

activities . I do not remember later what happened to this money later.

I can kick the bucket with a clean conscience that I am not leaving this money to anyone else .Younger generation

ought to work hard to earn their living and not become speculators and hoarders.

How do you reconcile when you loose -specially if it your hard earned money and not the kill you made in stock market ?

 

[krish44]

How do you reconcile when you loose -specially if it your hard earned money and not the kill you made in stock market ?

There are some manly ways of reconciling-like couple of pegs of scotch and listening to Mehdi Hasan ghazals.

Then be an optimist and wait for another day to make a killing in the market.

Success goes to the persistent players and not weak hearts.lol

 

[krish44]

The money earned in the stock market or any other investment is not "ill-gotten". It is legit and hard-earned.
It is earned by utilizing your brain power as opposed to using physical work.

Thanks for trying to make me believe that my brain has some power to make money and it is legitimate.

We only take potshots in share market based on analysis put out by some broker or other . Some turn out to

be good shots. But on the whole it averages out and one ends up with 15 to 20% returns.

 

[Janaki Jambunathan]

As a matter of principle, I always spend off all the ill gotten gains from the market on holidays and pleasure activities .(#29)

There are some manly ways of reconciling-like couple of pegs of scotch and listening to Mehdi Hasan ghazals.(#32)

When glad hit Johny Red! When sad it is Johny Black !

Right spirit of a sensitive stock market player!

 

[krish44]

Thanks JJ ji.

Shares jumping up again because of FMs sops.

May not last long though.

Cash in while it rains money

 

[krish44]

RBI has transferred a huge amount to the govt to play with.

At last the govt has succeeded in partly emptying the coffers of RBI to fulfill fiscal deficit targets.

Last two RBI governors have resisted the govt moves. Now they have succeeded in getting a Governor who has

obliged the govt with largesse.

Institution of RBI has been arm twisted to meet the reckless finance management of the govt in power.

 

[Janaki Jambunathan]

NCDs seems to be popular now as deposits and market lose sheen! Muthoot finance 100 crore issue got a whooping demand!

 

[Janaki Jambunathan]

RBI has transferred a huge amount to the govt to play with.

At last the govt has succeeded in partly emptying the coffers of RBI to fulfill fiscal deficit targets.

Last two RBI governors have resisted the govt moves. Now they have succeeded in getting a Governor who has

obliged the govt with largesse.

Institution of RBI has been arm twisted to meet the reckless finance management of the govt in power.

I wish the money is used for wealth creation and not to bail out Air India and BSNL or goes down the drain in some poverty alleviation yogana!

 

[Jaykay767]

I wish the money is used for wealth creation and not to bail out Air India and BSNL or goes down the drain in some poverty alleviation yogana!

Govt has kicked the bucket on the economy.?.with their terrible mismanagement. I suspect, they have no money for base sustainable, that's why they are desperate for this money.

I am afraid, they probably need the money to just pay the salaries..forget controlling fiscal deficit or stimulus package.....lets hope my suspicion is wrong !!

 

[krish44]

Further Reforms such as consolidation of 27 PSBs into 12 with five large global ones and some indian and

regional banks have been announced after the market hours .

While this may bring some liquidity into the economy, to what extent it will aid the economy is to be seen.

Merger of banks sooner or later will lead to these banks shedding their surplus staff.This may happen thru VRS .
In the meantime GDP of last quarter has further reduced.

Some opine that it may not be due to global economic scene.

It is due to Make in India and such campaigns.

Small unorganised units have closed down and MSME are in distress.

Exports have plummeted largely due to a strong rupee .

It had been kept at 65rs to dollar for long. Even 72 rs rate is not helping much.

RBI has been fighting inflation thru monetory policy.

Currencies of surrounding countries like bangladesh or vietnam are far cheaper and their exports do well.

It may not be a bad idea to make Re drop further to 78 to 80 Rs a dollar.

Our exports may pick up.Textiles and.IT will do better

Though there may be more inflation, growth will kick start creating employment for laid off workers.

Autos and four wheelor demands may pick up.

We have lived with higher inflation in eighties and early nineties. WE have survived.

We have to employ more people in urban and rural sector and agriculture needs to pick up. with higher

procurement prices.

Loss making PSUs need to be sold off or atleast govt ownership should be below 50%.

Govt should not be owning and running non strategic PSUs.

Excessive monitoring and control of govt is a disincentive to growth.

Unless govt stranglehold on public and private companies is relaxed , there can only be misery ahead for all

sections of society.

 

[Jaykay767]

The bank merger is a desperate cry to save them from collapse under the unprecented NPAs. So merge loss making banks with profitable ones.

Now watch out for the next desperate measure - interest rates will drop from approx 6 % down to 1%, then many super duper supporters will be gasping for air to survive. (How can banks pay such high interest rates when they are under such NPAs.?) They will then desperately message the forum owners to bring back the political disucssions to all. LOL.

Sariyana Padam !! The Avalanche is approaching the final collapse - Rmember my many posts on demo and so many were trying to push it under the carpet.. LOL,

And lets not forget the Venezuela situation !!

LOL !

 

[Jaykay767]

It will be beyond hilarious to see the faces of these Andh bakths, and the govt supporters when bank interest rates drop to 1% !!

LOL...

 

[krish44]

Now,experts admit that recession is around the corner.

Stock market is moving in a range .

Losses of retail investors are mounting.

There is no meaningful response from the govt.

Nationalised Banks are getting merged and consolidated leading to possible reduction of surplus staff . VRS for

50 plus is looming large.

Manufacturing sector is just going downhill.

GDP at all time low of 5%.

Layoffs are happening in auto sector.

Contract labour getting laid off. Permanent getting work only four days a week.

No takers for discretionary consumer goods.

Well off are taking refuge in Gold.

Food is becoming expensive.

Airfares have increased more than 50%.

Govt is politically savvy but economic management ,it has no clue.

Opposition is in disarray. It is unable to gt its act together.

Excessive rains has lead to floods.

Agriculture is bound to suffer.

Unless rural economy picks up , the situation appears bleak

 

[Janaki Jambunathan]

The slump in auto industry may be an advantage ! I tried to sell my 2007 car but offer was around 70000 only (OLX etc)

See the gain if you go for exchange offer!

Inventories are piling up ! Dealers are in a fix! Buyers bargain for huge discount! S cross ( fully loaded) on road costs 11.7 L in Chennai The deal was struck for 10 L - Discount of 60000 plus freebies like seat cover and some accessories . (By manufacturer and dealer)

The exchange offer for my car is Rs 1.1 L !

The exchange offer is higher because of huge inventory in their show rooms this has to be reduced at any cost ! ( Ms. Rita of Lanson Toyota commits suicide after a board meeting on plunging sales)

I don't need a car now as we go around in Ola ! Then why go for exchange !? Nexa is ready to register new S cross on my son's name though the exchanged car was on my name!

The PPF started in 2003 in my son's name by me with my regular contribution for the next 15 yrs matured in April 2019 The amount is about 8 L With additional 2L from his savings no need for bank finance - & this is a Diwali gift for him!

 

[krish44]

Govt is trying to restrict surge pricing in uber'

I had spent a lot on higher uber prices during peak hours. in chennai

Ola follows uber price and also jacks up the rates in peak hours.

Hotel rates also spike depending on number of stars given to it.

Airfares are already up by 50% even in lean months .

Market follows Airindia who price it high to reduce their losses . Others are a few hundreds less following the

market leader

Vistara appears to be good , only their flight timings are not good for distance travel.

Budget airlines are a horror for seniors.They do not use the loading bays and park at a distance in airports

One has to take the bus to board .

 

[N.R.Ranganathan]

Indian markets look to the US and western countries for inspiration.

Nifty 50 is hogged by a few shares and presents a rosy picture.

In fact most who have invested in mutual funds [except Gold ETF] have made losses.

Govt is fickle and gives daily adhoc directions and over using the control measures.

SEBI is going for the over kill citing investor protection.

Auto,housing sectors are in doldrums .IT majors are facing the wrath of US for not using local talent for jobs.

Consumers are not spending on discretionary goods as recession is around the corner.

Exchange rate of around rs 69 to dollar and higher oil prices are screwing up the indian economy and the market.

Shares are moving in a range . Market is volatile and it more or less returns to same value at the end of day.

Only day traders are making money in intra day trades.

One can at best make 6 to 10% in day behaving like a trader and taking a shot.

Alternately lay off and pray for monsoon and cheaper oil

sir,
The Government is very busy with polemics. It has not devoted time to devise plans for industrial/agriculatural growth. It is strange that our FM comes out with a statement saying that because of Uber and Ola, the Automobile industry is facing crisis !. Look at the Budget for this year - it is just a statement of intentions. There is nothing in it.

 

[N.R.Ranganathan]

Sirs:
The perception is that it is safe to invest in Mutual Funds, under the impression that collective professional wisdom is better than individual wisdom. They also suffered due to the failure of the industry in general and the Government's handling of certain laws is shabby. The Companies Act has been amended many times and almost every week MCA is coming out with amendments/alterations. Hope the Government will concentrate on home-work before doing anything.

I have also invested in some Mutual Funds and the NAV is falling.

 

[krish44]

Mutual funds are not the best way to invest.

You are paying a fund manager to invest your funds

He does not guarantee you any returns.

Except Gold ETF none is worth investing in.

Better pick a few good equity stocks with large market cap.

Make a shortlist of six or seven good group A shares belonging FMCG,private banks,insurance .

Distribute your money on them.

Sit back and relax.

If any share makes more than 10 promptly sell.. Similarly if any share falls more than 5%, dispose off.

This should give a return 15 to 20%

 

[N.R.Ranganathan]

Thank you Mr. Krish.

 

[krish44]

FM came out with a package to concessions to industry relieve distress of ailing sectors like auto, real

estate,exports,

msme amounting to 1.64 lakh crores. This made the stock market sensex jump by about 2000 points and nifty

by

570 points.

Shares of all companies large, medium , small crazily moved up by about 10 to 12 % in a span of few minutes.

Smart players booked profits became richer by huge amounts .

Even small retaill investors encashed as it was an oppurtunity of a lifetime .

Such a thing happened in 1991 when then FM Manmohan singh opened out the indian economy with reforms.

Private industry rejoiced and hailed FM Nirmala Sitaraman .

She cut tax rates to about 25% less by about 10% for corporate houses.

She also cut GST rate for hotels .to 12% for hotel tariff of 1000 to 7500 ,18%[10 less] for those above 7500..

.She also gave tax relief for FPI [foreign portfolio investors].

All these measures will increase our fiscal deficit.

It is hoped that business sentiment would improve.

I do not know what is in it for the common man?

He does not stay in five star hotels nor he has the money to buy articles of discretionary consumption.

Food inflation is only inching up.

Who has the money to invest in Affordable Housing when the economy is in doldrums?

Those who have the money are reluctant to spend and some are parking in gold which is inching up due to

oil crisis.

Mutual funds are giving negative returns. Only Gold ETF can give some returns.