India Morning Report: A stake purchase by etihad, a weak dollar and Japan holds on more easing

Dena Bank
Dena Bank (Photo credit: Wikipedia)


Early morning cues from Japan and australia made it a likely comeback week for global equities despite the ongoing fracas between Appl eand Samsung. in the meantime, despite a great show by Indian corporates, growth is slow and getting slower even in China where recovery is imminent leaving indices at ‘age old’ new levels near 5700 when reforms were announced. Reforms are unlikely to be completed but the global Economic easing is in progress responding to wide swathes of liquidity and RBA mulling a rate cut int he near future. The nature of theproblems facing Spain and Greece have changed and today’s decisions will further underrite ta big bull move in the year end and Indian markets with large foreign participation will also continue int he same vein, variously targets being set at 5900 or as would say breach 6000.


Encouraged by Etihad’s move on the $2 B Jet Airways for a substantial equity partnership wstarting with an immediate infusion, the Indian investment story segues nicely with issues of promoter stake ( JP Infra, DLF, Merck) and Divestment ( Oil India, Engineers India )- Check ET for the morning wake up call from OilMin


Delivery flight to Gander 737-700 Boeing Field...
Delivery flight to Gander 737-700 Boeing Field – Seattle, WA August 9, 2007 (Photo credit: Wikipedia)


The Hindustan Copper story of Friday is unlikely to deter other Divestments with PSU Banks joining LIC in getting basement bargains as investors with pockets unfortunately to not have the depth to take such risks on the public sector book of india Inc. A piece by DRON Capital on ETNOw seems to be doing the rounds praising some banks like OBC and Dena (PSU) and Federal and Karnataka Bank ( Private)  that have boottomed out on their worsening credit assets according to them) Dena Bank of course would be a big surprise if its assets did not improve but big banks like BoB have flailed and even more shockingly the bottomless pit for SBI and PNB continues to get a lot of cast offs fronmthe bank management underlining the basic reasons why India Incs good performance continues to be ignored but global cues get the required segueay from Indian Capital markets nad Rupee’s rise is stunted despite a continuing weakness in the Dollar with the Yen running to 90 and a solution to the current Greek impasse in hand for the EU in Brussels/Strasbourg


Indian Cricket’s loss may yet be a year end gain for Indian equities and by a wide margin


English: Logo of Oil India.
English: Logo of Oil India. (Photo credit: Wikipedia)




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