The moment I started writing this article...it was like...long time no see....

Starting from the time of election polls when the whole nation was gripped in the euphoria of Modi Wave...

The expectations of delivering and meeting the Aam Admi Expectations were at their all time high levels after considering the track record of Modi Regime....

Also the reforms taken in the past few months on the policy making and structural front of the country brought a rejuvenation.

This was the best time to make a common man happy as the falling oil prices have made the government's task much easier on macro-economic front, (inflation, fiscal deficit and current account deficit).

Few things which would have been highly appreciated :
Less of manufacturing prices as WPI and CPI numbers are declining and also it will help middle class people to ease out on their pockets...
Tax exemption and deductions in Section 80 C, Payment of Premium will help in more of Domestic Savings and will lead to further investments
Increase in Home Loan Interest Limit to give impetus to the housing industry, thus boosting the economy in the long run.


This Union Budget 2015 was a Litmus Test for Modi Sarkar to "Make In India"

That was a very short abstract from the expectations front...

Few of the achievements made :

* Financial Inclusion - 12.5 crores families financially mainstreamed in 100 days.

* Transparent Coal Block auctions to augment resources of the States.

* Swachh Bharat is not only a programme to improve hygiene and cleanliness but has become a movement to regenerate India.

* Game changing reforms on the anvil: . Goods and Service Tax (GST) . Jan Dhan, Aadhar and Mobile (JAM) - for direct benefit transfer.

Now if we move on to what did Budget 2015 brought for us...

The middle class and the common man had a lot of expectations from this, the budget is progressive in nature and supplements India's growth path, which would eventually benefit the citizens. Thus, it appears to be a case of short term pain for long term gains....

The major updates are as follows :

• Tax exemptions for health insurance premiums, senior citizens, differently-abled persons, pension contribution
• The transport allowance for salaried, which currently stands at Rs 800 per month was increased to Rs 1,600 per month.
• Encouraged by the success of the Pradhan Mantri Jan Dhan Yojana, the Finance Minister proposed to work towards creating a universal social security system for all Indians, specially the poor and the under-privileged for that Pradhan Mantri Suraksha Bima Yojana will be launched to cover accidental death risk of Rs 2 lakh for a premium of just Rs 12 per year.
• Similarly Atal Pension Yojana and Pradhan Mantri Jeevan Jyoti Bima Yojana will be launched.
• no change in the rate of personal Income-tax. 
• Another innovative method of monetizing gold which will replace both the present Gold Deposit and Gold metal Loan Schemes.
• This scheme will allow the depositors of gold to earn interest in their metal accounts and the jewelers to obtain loans in their metal account. Banks/ other dealers would also be able to monetize this gold.
• Also development of an alternate financial asset, a Sovereign Gold Bond, as an alternative to purchasing metal gold will happen in near future. The bonds will carry a fixed rate of interest, and also be redeemable in case in terms of the face value of the gold, at the time of redemption by the holder of the bond.
• With a move to up the employability of youth, the government will launch a National Skills Mission through the Skill Development and Entrepreneurship Ministry which will help in Job creation via Make in India.

A glimpse from Vision for "Team India" led by PM


* Housing for all - 2 crore houses in Urban areas and 4 crore houses in Rural areas.

* Basic facility of 24x7 power, clean drinking water, a toilet and road connectivity.

* At least one member has access to means for livelihood.

* Substantial reduction in poverty.

* Electrification of the remaining 20,000 villages including off-grid Solar Power- by 2020.

* Connecting each of the 1,78,000 un-connected habitation.

* Providing medical services in each village and city.

* Ensure a Senior Secondary School within 5 km reach of every child, while improving quality of education and learning outcomes.

* To strengthen rural economy - increase irrigated area, improve the efficiency of existing irrigation systems, and ensure value addition and reasonable price for farm produce.

* Ensure communication connectivity to all villages.

To make India, the manufacturing hub of the World through Skill India and the Make in India Programmes.

* Encourage and grow the spirit of entrepreneurship - to turn youth into job creators.

* Development of Eastern and North Eastern regions on par with the rest of the country.


However few major challenenges

1. Agricultural income under stress
2. increasing investment in infrastructure
3. decline in manufacturing
4. resource crunch in view of higher devolution in taxes to states
5. maintaining fiscal discipline

But all of that can be achieved and that the dream of Make in India can be fulfilled through apt Fiscal Roadmap, Good governance, Safer and Greener India....

So before commenting about others, we should promise and contemplate that how we gonna change ourselves and contribute to  make India the best nation....

Facebook says..WhatsApp I like..!!!

Year 2014 marked another noteable Facebook-Watsapp deal with a staggering amount of $ 19 billion and also dwarfed Facebook-Instagram deal which amounted for $ 1 billion in 2012,Microsoft-Nokia deal summed to $ 7.2 billion in 2013.

WhatsApp being a booming smart phone service founded by a former employees Brian Acton and Jan Koum which grew in just five years.The WatsApp model is the best communicator of 21st century to stay in touch with friends,family and share images,video,audio.
WhatsApp is reported to have more than 450 million users and said to handle more than 10 billion messages daily effectively handled by 55 employees.

Interestingly out of which 100 million active users are from India due to penetrated smart phone network.


Facebook is placing a $19 billion bet on reaching its next billion mobile users with the acquisition of WhatsApp. The components for aggregate deal will be somewhat like paying $12 billion in stock and $4 billion in cash for WhatsApp. In addition, the app's founders and employees(55) in all  will be granted restricted stock worth $3 billion that will vest over four years after the deal closes.

Effectively spending $ 42 to acquire one WatsApp figure,quite a whopping figure I must say...

There have been endless talks among half of S & P 500 companies that Facebook is paying more than half of what WhatsApp is actually worth for. Reason may be  Facebook wanted to keep WhatsApp out of the clutches of Google...Anyways its share price is all time high so it has not much too lose and its merely a fraction of  company's valuation.

According to Mark Zuckerberg,their motive is to make the world more open and connected. We do this by building services that help people share any type of content with any group of people they want. WhatsApp will help us do this by continuing to develop a service that people around the world love to use every day.And also WhatsApp has blistering growth world wide.
Being one of the most successful and far sighted founder at the age of 29,Mark also added WhatsApp will continue to operate independently within Facebook.
One of the major upcoming expected would be complimenting Facebook Messenger for communicating with all of the contacts and small groups of people.
However some of the things which can be integrated can be Detailed registration – collecting user information,Advertisements as Facebook makes plenty of cash from advertising,incorporating feature of real time location and most impotantly upgrading users.


Facebook is also keeping an eye on SnapChat,other popular Chat App...

With all these deals going on its creating a strong foundation in world of Technology,Gadgets and pre dominantly in minds of people across the world..

Ecstatic Rally in Dalal Street....

Before the poll results,Economy was expected to go up and down on a see-saw,swing like a pendulum and experience a  somersault as welll....
BJP and AAP after reflecting an overwheling majority,took sensex to a level of 21326.42 up by 329.82 with an intra day increase of 487 points.

The outcome of election results are in-line with what the global brokerages have been hoping for.
Stocks belonging to the capital goods, infrastructure and power sectors are likely to benefit from new policies to kickstart growth. Groups like Adani and Reliance and various infra and power companies would get a chance for job creation and infrastructure revival.
Moreover they will focus on the stalled power projects.and already Ambanis and Bharti Airtel have entered into an collaboration partnership of 4g Services.
However Banking Sector is likely to benefit the most,as in even today ICICI Bank(+5.16%),HDFC Bank (+4.5%),Bank of Baroda(+2.09%),Axis Bank(+1.72%)
Talking about the Rupee Rally,it got strengthened after taking cues from capital market and a lower current account deficit(imports-exports) which is expected to fall to 3 %.Foreign institutional investors invested Rs 1,100 crore in the equity market today. RBI has mobilized $34 billion from the swap window under foreign currency non-resident deposits funds(Fixed Rate 3.5 % p.a.) and overseas bank borrowing.

Though rupee is likely to gain from the inflows and gets stronger.
Now the question is "Will the phenomena called "NAMO" and "Arvind Kejriwal" will bring a spectacular change in India or market is reading just too much...."

Receiving a tinge of sarcasm from people around e.g just as P Chidambaram did by contradicting Modi's statment of increasing inflation due to imported gold which worsens our Current Account Deficit.As Chidambaram believes it is because of corruption.

Apart from this India has been seen by global investors to invest their money aggessively in India,GDP growth better than the second quarter,fundamentals of global economy have improved e.g Bond Buying ($ 85 billion) programme by U S federal,7 Percent Unemployment rate.
So to conclude I would say one should be cautious while investing and also we have our eyes on
events such as the RBI monetary policy in the third week of December and the imminent Fed tape which would impact the market cycle again..

Take care...Keep Smiling... :)

Coming Back....

Hiee friends...its been long i did not write anything...

Economy faced a blood bath,bullish traps n bearish trends....

Along with that arrival of an visionary, Mr.Raghuram Rajan..

If we see as of this week Sensex reached 20,000 nifty rallied 555 points in a week...
and most importantly Rupee which was bleeding profusely,pacified at Rs.64,there's been discussion of reducing Petrol Price by Rs 1.50/Litre

Rajan's magic worked on markets because he is into the rationale that India needs a logical change.He's someone who has arrived without bureaucratic baggage who really intends to inculcate Financial Sophistication in India.
Rajan is a perfect combination of Academic Pedigree as well as an Financial Economist.
The reasons why we can expect a Transforming Change is:-
1.Targeting Inflation

2.New Bank Licences-The NBFC' s and Corporates will be getting Banking Licences in Jan 2014 which will bring various growth and job opportunities in Banking Industry.

3.Currency Measures-A fixed rate swap for FCNR(foreign currency non repatriate) which were dollar dominated will be @ 3.5 % for 3 year deposits thereby welcoming foreign investments in our country.

4.Overseas Borrowing Limit for banks-The limit has been increased from 50 % to 100 %

5.Priority Sector Lending and Working on Non-performable Asset situation in the country.

Rajan saws the fault lines in the system,provides a comfort that the broader markets will be taken care of. He had laid down a three year agenda on rupee internationalization
Other thing he has proposed Inflation based index tied to consumer prices which will give a better impact on the outlook on Indian Economy and how consumers dealing with the prices.
Booster Dose for the rupee will be injected by doubling the borrowing limits may be used by private banks to raise US dollars via Bond Sales and the estimates could fetch $ 25 billion.
An enhancement in overseas borrowing would means additional borrowings possible for banking sector in foreign currency.

Hopefully we'll improve on Oil and gold prices and improve the current account deficit and the situation of our country in International Parlance.

Have a great time ahead... n cya soon....

Impact of Obama's triumph on India

Impact on India
Focusing on the economic interests alone, Indo-US relations are in for a long haul.
Our bilateral trade is expected to cross a record $100 billion this year and more importantly a huge number of Fortune 500 companies continue to have strategic business interests in India with perhaps the highest exposure in the Indian IT Industry.
But Obama has set a limit of 65,000 on H-1B visas for software engineers to enter the US, and India's share in this is just 7%. Moreover, Obama has cracked down on L-1 visas — Infosys  complains that half its applications for such visas have been rejected. Obama's victory means India will face four more years of anti-visa pressure. He also wants to discourage US investment abroad of the sort that exports jobs. India has been the recipient of precisely such investments — IBM and Accenture now have more employees in India than in the US. Stiffer tax rules on such companies could impact future investments.

Obama prides himself on being a green enthusiast. There is growing green pressure in the US to oblige India and China to slash carbon emissions, which are growing because of rapid increase in coal-powered electricity. US greens want new trade barriers against countries whose imports are competitive because they have lighter environmental standards (especially on carbon) than the US — the greens call this environmental dumping. Obama will seek stronger action from India and China, but it remains to be seen how discomforting that is.

Collaboration is key to survival in today's uncertain world. I hope in the 45th tenure of US Presidency this one thought will reign supreme above all lines..:)

Obama back with a bang.. !!!

US elections are culminated with the victory of Barrack Obama.Winning of Obama marks innovation in the US is good for the US, but it is also good for the rest of the world, as computers, mobile phones and the internet, for example, demonstrate. Obama stands for inclusive growth, accommodation of immigrants and equality of opportunity, and Romney stood for the opposite.
Now it can be expected that the fiscal cliff($600 billion) i.e. combination of expiring taxes and overboard government spending cuts will be fixed by working on monetary policy,easing interest rates and quantitative easing(QE).As the president will do something to minimize the effect of tax increases and spending cuts.
All over the world markets and price of different commodities increased, Dow Jones
industrial futures up 0.1 per cent to 13,213 and S&P 500 futures adding 0.1 per cent to
1,426.90. Britain's FTSE 100 rose 0.3 percent to 5,899.13. Germany's DAX rose 0.6 per cent to 7,419.95. France's CAC-40 rose 0.8 per cent to 3,507.30. Crude oil jumped to $88.72 per barrel,the euro rose to $1.2845.
A win for Obama is a positive for the capital market as that would ensure flow of Foreign Institution Investors(FII) money into India by continuing the QE thing which allows buying of shares worth $40 billion per month ensuring enough liquidity.
Obama's victory means that the hope of disciplining global finance stays alive and that fiscal policies will be more responsible and supportive of near-term growth.
Obama's foreign policy, too, is more  adaptive to the more dispersed nature of global power.
Below is a breakdown of the possible implications by sector:-


1.Alternative Energy: Obama has said he will continue to support development of renewable energy technologies such as solar and wind, but he will need the support of Congress to extend or renew tax breaks that have underpinned the growth of those industries.

2.Healthcare: Hospitals and health insurers will benefit from the phased-in implementation of Obama's healthcare act, which requires most individuals to have health insurance.

3.Rundown: Under a Democratic government the industries most likely to benefit include healthcare facilities and services, food and staples retailers, home-building and life sciences tools and services.

4.Education-Govt will back taxes to avoid education cuts,less college costs,easy  funding in education/training programmes so that more people have an opportunity to be educated so that they can really be qualified thoroughly in their area of work.

Hiee friends ....
wats up... :)

Recently we saw a hike in diesel prices and some changes in FDI(Foreign Direct Investment) policies
Increase in diesel prices by Rs.5,limiting the supply of LPG cylinders to 6 in a year,clearance of 51 % FDI in retail sector,Policy Changes in Aviation Sector,Rate changes by RBI.
There were protests all over the country by the public as well as opposition parties.

The reason RBI and policy makers gave was primarily to consolidate fiscal gap(Difference between earnings and expenditure)
On the government decision to allow FDI into multi-brand retail, it has been said that it will create an opportunity to improve infrastructural facilities in the agricultural marketing field which may ultimately lead to price reduction,due to wide variety and easy availability.And also it will strengthen our growth process and generate employment in these difficult times

But we see from a different prospective,it will push up inflation in the near run.For Example,Diesel hike causes Rs.1200 crore burden on Indian Railways,yearly.

Whats new is Mamta Bannerjee protested to take her support back,but today when Samajwadi party lended its support.
As a result Sensex closed after rising 403 points at 18752.
Tomorrow there's a news that our PM Dr.Manmohan Singh is going to give a message that why this diesel hike and other changes are being done.The Prime Minister is also likely to explain the reason behind the hike in diesel prices citing under recovery by oil marketing companies. He could also put forth the government's stand on capping the number of LPG cylinders to six per annum.

Singh would also touch upon various economic reforms being pushed by the UPA government.


But if these reforms will continue at greater pace,then it will surely create problems for Indian Public and growth of the country.