Though valuations have moderated, they are still above average.
It's difficult to understand if GDP growth has actually improved.
Valuations are much higher than the consensus earnings expectations warrant and also much too high in historical terms, says Devangshu Datta.
'The Indian market has all the factors at the moment: Over-valuation, over-confidence, reliance on some source of massive fund flows and massive scams.' 'The trigger for a collapse could also have arrived.' warns Devangshu Datta.
It is the rupee's biggest single-day gain this year.
Trading such scenarios takes discipline.
Depreciating the rupee against the dollar to boost economic growth has fiscal constraints and monetary limitations
There is a narrow chance that the central bank may cut rates in the future, according to a poll of 15 economists and treasurers.
A first in 7 years, the combined institutional investor flow stands at Rs 69,000 crore in 2016-17
Debt funds have exposure of nearly Rs 8,000 crore to Zee group papers. Aditya Birla MF, HDFC MF, Franklin Templeton MF, and ICICI Prudential MF have the highest exposure, reports Samie Modak.
Foreign portfolio investors have been net positive since the Union Budget
The market has zoomed to new highs for calendar 2017.
.jpg)
Foreign investment cap in insurance sector raised to 49 per cent.
'It is unlikely that foreign portfolio investors (FPIs) might increase their India allocation, given the overweight status for most FPIs.' 'Given the commentary from the Republican Party, an anti-imports approach means money will not flow out of the US.'
With the 50 bps rate cut now more banks are expected to reduce their base rate.
Earlier, the RBI cut its policy interest rate to 6.75 per cent.
Market experts believe the retreat is because of uncertainty.
It is welcome that the government tried to make its intentions clear last week - especially as risk concerns return to global markets.
FPIs, which are holding large exposures in Indian debt, could also be expected to book some capital gains as yields slide down
Continued outflows amid moderation of domestic investments are a concern
CBDT circular issued last month had raised multiple taxation concerns.
'If credit is not available, people will postpone buying. That's what has happened.'
Bear operators are said to have created huge short positions in the stock market over the past few days, which means they were betting on a fall in the market values
But this might not be the best time to enter these, as probability of further reductions in near future is low
Dairy, sugar prices fall sharply, despite El Nio fears
Sebi directs freezing of all demat accounts not linked to Aadhaar by December 31
Retail inflation rose 4.38 per cent year-on-year in November, the slowest pace in data going back to January 2012.
Stock markets in structural bull run but there can be bouts of volatility says Ravi Gopalakrishnan, head, equities, Canara Robeco Mutual Fund
The second-longest serving chairman introduced quite a few measures for the primary market and implemented a new corporate governance framework.
The 30-share Sensex ended down 604 points at 28,845 and the 50-share Nifty ended down 181 points at 8,757. The Bank Nifty ended down 602 points at 19,146.
Fiscal consolidation is keenly awaited.
GAAR will not override the recently revised double taxation avoidance agreements with Mauritius and Singapore.
On the sectoral front, rate-sensitive sectors such as Bankex and Auto gained by 1% and 0.7% respectively while BSE Consumer Durables gained 1.4%.
The second half of June could be driven more or less by technical factors triggered by news flow from Greece, the US Federal Reserve and the monsoon. The technical picture seems bearish as of now, says Devangshu Datta.
RBI might not cut rate on June 2 but will surely cut soon.
Softening the demonetisation blow, the Budget for 2017-18 on Wednesday halved the tax to 5 per cent on incomes up to Rs 500,000 but proposed a new surcharge of 10 per cent on incomes between Rs 50 lakh and Rs 1 crore and raised duties on cigarettes and pan masala while stepping up allocations for infrastructure, rural, agriculture and social sectors.
Making it easier for companies to raise funds through genuine equity or debt offers, Sebi unveiled a slew of measures to bring to book those running illegal money-pooling schemes and indulging in other fraudulent activities.
The government is scheduled to release index of industrial growth for November and consumer price inflation for December later today.
There are a few factors that can spoil the party
The tax dept has served notices on about 36 foreign investors.
