Tuesday, 5 February 2013

GOLD FUSS

Indians love gold. So what's wrong in it? Why so much hassle? Government blame it for the fiscal deficit but the question is does it really matters. It is the most appropriate way of saving as considered safe zone after property. It increases safe feeling for the safe players who rejects the share market as the playing field.

Remember Warren Buffe who says capitalism provide everybody opportunity to become rags to riches but if
he bluff enough to take risk. Indians mentality is medieval so are there earning rate. Take the example of Japanese mostly every employee is involved in share trading which usher prosperity to the citizens. There is a wide need of awareness among Indians to rethink one's way of dealing with market.

So govt increase of 2% duty on gold imports is appropriate but increases the fear of gold smuggling by the mafias and underworld which is seeming it as a good business. Govt should encourage gold loans to bring the money back to the market. Mannapuram and Muthoot Finance are doing good work and generate confidence among general dwellers to reinvest the money.

It is mandatory to stop black money transformation into gold which is dumped somewhere as forgotten for years which will blick the money flowing an reduce liquidity in the market. It also increases pressure on the RBI to maintain and control money flow.


Tuesday, 16 October 2012

CONGRESS DILEMMA

Congress is in the peril due to haphazard control that it shows in its regime of two session of the parliament. It is due to that reason that the social society has to come up for the cause of the Indian sovereignty and to eradicate the big and horrendous corruption which has sticks in the Indian economy that it is very much hard to eradicate it. However we can not eradicate it fully as become cancer and seems to be incurable. But some sort of  treatment should be urgently given so that we can give some relief to our country.

Social activist are on a boom as the public has no other option as all the parties and politicians are seems to be corrupt and inculpate in one or other criminal cases so it is very hard to trust anybody. With the arising of campaign like India Against Corruption supported earlier by Anna Hazare and Arvind Kejriwal with their social conscious team and with the help of youth of India it become as a substitute for the politics as some one in this country has the guts in this country to come up as a volunteer left the lucrative job with the potential to earn crores of money the help of big bogus of the society but he did not he is a man of words and actions. Arvind Kejriwal is seen  by today youth and the middle class Indians as a potential substitute in the country like India where there is urgent need for the potential candidates who are educated and one of the best brains of India. He is the man who is an IITian and an earlier IAS officer whose priority is not money and power but social upliftment of the society and eradicate corruption. We all must support the bud of the prosperous Indian society and to increase further dilemma of congress as it has  become as an agent of the foreign hands whose objective is to loot as much as you can from India. 

Thursday, 4 October 2012

BUSINESS WITH AUSTRALIA

As trade with Australia will increase to USD 42 Billion in the coming 4 years according to the surveys it is going to be a benchmark for both the countries to increase bilateral trade. Indians are continuously buying coal and copper mines in Australia shows the interest of Indian businessman towards Australia. India is the ampler importer of gold, coal, copper, wool from Australia and in future uranium. In return India is exporting gems and jewellery, chemicals, leather and agricultural products to Australia.


Indian are very elicited to invest in properties such as in hotels and mining field which resulted around AUD 80 Billion foreign direct investment in Australia from India. In order to increase investment Australian government do modification in the visa policy for the people who invest more than 5 million dollars. Thus exited  rich Indians are headed towards investing in real estate, hotels, mines in the resource rich Australia.

Gautam Adani, of Adani Power Gujrat  buys 2 billion dollar coal mine in Queensland, Australia astonished business veterans by acquiring capabilities of Indians. Both the countries are optimistic to the future of bilateral trade between the two countries which will result into amend mutual corporation and better understandings.

Wednesday, 3 October 2012

USELESS CRR CUTS

Recently Reserve Bank Of India announce the cutting of CRR(Cash Reserve Ratio) to 0.25% which will unlock Rs 17,000 crore of liquidity into the system to spur growth. It is not understandable in the context of both internal and external economic condition. As abating industrial growth, high inflation rate of 7.55% and decline in merchandise exports. 

However, RBI's  cautious stance of keeping short term lending and borrowing rates unchanged in view of high inflation which is discouraging the industry. As from another point view the CRR cut will aid government borrowing. The liquidity of the country's economy was under control and there is no need for these aids to the banks.


Investment in  the mutual funds increased to Rs 258.7 billion, compared with Rs 223.6 billion in the period of 2011-2012. The CRR cut will not have much impact on interest rate in the system. There is not likely to be any other reduction as many banks has already done so, both on the deposit and lending sides.

Those who argue for growth over price stability should note note that it would be a vicious circle where inflation leading to lower savings, real demand and investment which will in turn down the growth of aggregate supply, resulting in the haphazard price rice.


Tuesday, 2 October 2012

FDI DELUSION

FDI in retail is a boon or imprecation???? Big question. Why Rangarajan PMO adviser suggest FDI  to PM? These are the some question whose detail one should know and think over it. As government allows 49% foreign direct investment in retail and 51% in the smearing aviation sector to which Indian economist and industrialist say a boon for India and to the farmer according to them get dearer prices of their yields.


It is a two way perception as analytically it is a vantage for the rich and  curse for the common man as big barons like Bharti, Mittals, Jaypee will collaborate with the avaricious behemoths. Who already tossed the mega plan to capture the market. In this battle what will be the hereafter of the C class society, it is engrossing to find that their fate will remain same as now also they been exploited and will continue in the future. Only the exploitation becomes in the organised forms.

As research in the retail market shows that Indian total retail market is around is Rs 12,781 Billion. Out of which food and beverages sums up a whopping of 74%. So you are not too dopey to analyse that the sword is clinging around the local kirana stores and wayside food zones. So be ready for the open butcher.

Financial Prevue

In the last month there is huge fiscal deficit in the country which blazes the inflation rate thus common Indian suffers. The thing which hurt the most to common man are the big black coal-gate which helps them to clean their teeth so they can smile disgracefully in parliament. If I continue with politics there is no end so i better stop talking about politics and find analysis of this scams on the morale of the economy.

Business and politics go hand in hand, in order to get big tenders tycoons have to make connections with the politicians and they invite them at the alluring parties where the Quisling happens. It is good for the economy if both the nerd and the lerd work together for the uplift of economy. But we see a different picture as they together ready monster bite to the cuckoo society who still praise them as of same caste or community.

Countries like (Philippians, Taiwan  South Korea)  of the second world already began processing the money that flows in the world by opening their economy and their pertained leaders self talk with the MNC to start ventures and invest in their countries. They are concerned for the future of the their citizens as both the tycoons and leaders are working together. Their goal is pertinent and seems optimistic.

Today while reading the book "The World Is Flat" by Thomas L. Friedman i realized that in the previous our country economy boom is due to service sector or we say "Outsourcing" for which Americans are beating their stomach hard paramount by the belief the their jobs are loosing but the fact is that their exports of communication instrument and other technical items increase to 5 Billion from 1.2 Billion. Now ask Mr. Obama who is the real player. They are very cunning businessman so we have to keep vigil and analyse the mystifying concepts of business.