Skip to main content

Posts

RBI credit policy

 Today RBI will review credit policy . RBI’s six-member Monetary Policy Committee (MPC)   is meeting second time after demonetization .   Market is expecting  25 basis points cut in repo rate . Repo rate is short form of repurchase rate .It is also known as short term lending rate. RBI lends money to commercial bank as per this rate . Low repo rate is not only beneficiary to commercial bank but also to industry .  Commercial banks can lend money at low rate to industry if they get benefited  from RBI .       In last meeting MPC had  left repo rate unchanged to 6.25 % . The decision was taken considering some internal as well as external factors .  The  main external factors which were considered by MPC were possible rate hike by US fed and rising oil price as well as US dollar . At present US federal reserve has preferred pause for rate hike but concern of rising oil price has not gone away . Rising oil prices is a  challenge to India’s growth. Economic Survey presented in Parl

Budget and Indian stock market

  # budget is considered one of the most imp event for Indian Market as it decides tax structure as well as policy for economy .Indian stock market has seen rally in anticipation of very good . Nifty has rallied  over 700 points and bank nifty over 2000 points just in between December  2016 end to January 2017 end  !This converts into return of  about 9% within a month !   Traders and short term investors who had purchased at lower level have already started booking profit for 2 days .Any disappointment is enough to pull market further down . Experts too feel that the budget is  already priced in. I too had advocated for the same with following tweet .     Nifty facing resistance at 8660 — #Budget #budget2017 (@GujaratBull) January 27, 2017   Above resistance will be crossed if   market   gets better   reward than expectation. U nsurety about the rewards  has already pushed volatility index up and it is likely to stay higher till the event gets over.  Meanwhile market

Trade like bull and make fortune in capital market

Welcome to GujaratBull - a place to make fortune in capital market. At GujaratBull we interact with different type of people from novice to veteran players/investors of share market. We have found mainly two common findings among these people. The first is that majority of them have come into share market to generate some extra income. The second thing is with tips or so called research they sought from here and there. They are told to invest/trade with many ifs, so and then! The stories at other places, too, are not different.      Now if you analyze above findings then you would realize that there is correlation between first and second finding. In share market people get lots of ifs and then to trade/invest and that’s why they do not invest lots of money. They do not have enough confidence in tips/calls/research and that’s why they invest less and expect just extra money. If there are so many ifs and then, then who would be the fellow to pour heavily his/her hard earned mon