Sameer

Indian crude oil demand stands at 133 million tonnes (2003-2004)

It is growting quite fast

look here (addpruduction +imports of crude)

http://rbidocs.rbi.org.in/rdocs/Publ...PDFs/65893.pdf

Asim Aquil

India's forex reserves drop $1.2 bn: http://economictimes.indiatimes.com/...ow/1248971.cms

indianguy4u

Rejoice then!

__________________
Hala Madrid!!

Sameer

You know its not the first time Indian FOREX dropped, they did that 2 weeks ago and two weeks before that, in fact so does China's, Japan's

Do you know why?
Derivatives are being renegotiated this week.

hint: portfolio weights are changed, forward contracts are renegotiated, currencies in the basket change too.....

FOREX RESERVES OF ALLL COUNTRIES GO UP AND DOWN.



I mean if one wants to post something negative, please do but at least try to understand basic economics and understand that you posted nothing of importance.

Sameer

The BSE went up by 64 ponts today and stands at 8714 points.

In the last 6 months the BSE has added 90 billion dollars, ie a Pakistan to itself.

It is now paying around over valuation territory.

Does anyone have the latest P/E ratios?

indianguy4u

It something 20 times.

Monk

The latest P/E for the Sensex is around 16. But it is still cheaper than the other Asian markets and definitely cheaper than the western markets. But a cool down of the Indian markets is a must. We are entering overheated territory. Too much is happening too fast.

Ideally, the Indian markets should be buoyant as long as the current global boom economical cycle continues. This cycle is a lot similar to the massive boom of the 1970's global economy where we structurally went up a notch in terms of global economics. We are again undergoing a structural shift in global economics led by this massive boom. I anticipate this to last another 3 years barring any major "incidents".

I would honestly like India to become an oil refining super-power. Because most of the global oil problem has very little to do with availability and more due to refining under-capacity. The US hasn't built a new oil refinery in 27yrs. We have to concentrate on this since there are massive gains to be made particularly with the proximity of the middle east.

__________________
"Many forms of Government have been tried, and will be tried in this world of sin and woe. No one pretends that democracy is perfect or all-wise. Indeed, it has been said that democracy is the worst form of Government except all those others that have been tried from time to time. "

"Although prepared for martyrdom, I preferred that it be postponed."

Sir Winston Churchill

Sameer

How sure are we that companies are reporting true earnings when even in the US they have been shown not to. The Regulatory authority and SEBI are a work in progress in India.

Monk

I am a chartered Accountant by profession, I can assure you that the major companies are reporting with a fair degree of accuracy.

Prior to Enron, Indian laws were a lot stronger to the US laws from the Companies Act point of view. Subsequently the US tightened up by hastily pushing through the Sarbannes-Oxley Act.

Sameer

How about the penny stock companies though?

I dont doubt the health of the major players.

Sameer

Anyone have the rest of the article from the Economist?

India's electricity reforms
Sep 22nd 2005
From The Economist print edition


ITS organisers are calling it a victory for people power. They even invoke the name of Mahatma Gandhi, icon of India's independence struggle. For economic reformers, however, it is a depressing defeat: by making a huge fuss and refusing to pay their bills in full, Delhi's middle class last month persuaded the local government to withdraw an increase—of about 10%—in the residential electricity tariff.…



Electricity reform is a major stumbling block to maintaining strong growth, the Govt needs t be more severe rather than play around with vote banking

Sameer

If we want to compete with China we will need to reform labor laws and archaic power to the poor rules.


Take the recent incident where the CBI raide the officers of top bureaucrats and found bribe money everywhere. That too take into account that there was a leak from some corrupt CBI member that prevented more.


I say make sure that the proposed SEZs have the reformed labor laws, people can choose to work in the SEZs where laws follow a more liberal and sensical approach or work outside them, that way when the people, even the poor see the wage differential, they will push for reform themselves.

The biggest stumbling block for reform in India is a lack od education in thepoor community, hence they vote for commies.


We must also make sure that our economic relationship with the US is strengthened, i could care less if they plan to invade Iran tomorrow, we are no yet strong enough to preach. We will benefit greatly from the US and we are closer to them than to any other Muslim country afterall.

bharadsm

Hi,
I am new to this site and the thread. People like me feel there is something wrong somewhere... with this sudden spurt in the Sensex. One which goes up so fast may come down even faster. What can be the cause for this sudden rise?
Rgds
SMB

Sameer

Economic growth is behind the rise in the Sensex and it is certainly not sudden, it has been growing at an outstanding pace since 2003 and has been the best performer compared to any other major index.

The BSE will grow in the long run because Indian companies are starving for capital and interest rates and inflation are low.

There may be some penny stocks out there in the bSE that in my opinion will eventually be sold off and there will certainly be a correction500-900pts) in the market but make no mistake in the long run the trend is up up up. The BSE belongs in the 8000+ index.

Sameer

In 2003 the BSE stood at 3500, it reached 5000 then crashed when the commies scared all of us and then got back to trend and made it to 8000 and now it is edging closer to 9000 than ever.

On average the BSE has added a Pakistan to its wealth over the last 6 months.