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Showing posts with the label Management

United States Management – Its Growing

United States Economy Management was done by Federal Reserve in the time of recession, 2008 - 2011. This is now earmarked by the Citigroup Management, as they created better-than-expected results on the market front. The better results had pushed the Citigroup Management by a record 2.1% rise in the value of shares. Due to the movement of the shares, Dow Jones Industrial Average moved forward, but that's short lived. The adjusted earnings of Citigroup Management was USD$ 1.25 per share this quarter compared to USD$ 1.18/share. This is done due to 42% rise in profits emulated by the Citigroup Management . This was done by the mortgage losses and the rise in growth of bonds trading. The Management got most of the revenue from the United States market. The Citigroup Management received three stimulus package from the US Government to come out of the crisis. Securities and Banking Division got most of the profits for the Citigroup Management where bond revenue rose 18%, stock

Management of Foreign Currency

Indian Government Management of  Foreign currency is in doldrum as its facing problems of Current Account Deficits[CAD], Negative Terms of Trade, etc. The Finance Minister was in United States to convince the CEO's of the big companies to come and invest in India. Now, he's meeting the Foreign Banks the pioneer's of Fund Management to study ways and means plus expressing the interest of  issuing "Foreign Bond". Indian Government is trying to Manage funds directly or indirectly with the help of Indian Banks to raise loans outside like Soverign Bonds. Indian Development Bonds was issued in 1991, to Manage the Balance of Payment crisis. Offered 9% interest and paid about USD$ 2.2 billion in one shot. Resurgent India Bonds gave us USD$ 5 Billion, which was floated by State Bank of India in 1998. This was done to Manage the wrath of Pokran Nuclear test - II. Purely offered 7.5% interest rate. Indian Millenium Deposits garnered in USD$ 5 Billion, which was issued

Quantitative Easing[QE] Must Stop Nor Divert To Poor

Ben Bernanke Management want to continue to buy USD$ 85 Billion Bond every month, which he thinks will be bringing the United States Economy back on growth track. He kept the Interest Rate near to zero, which he will be changing when the unemployment level will reach 6.5%. But the Federal Open Organizing Committee [FOMC] want to stop it and want to hike the Interest Rate. But what Ben Bernanke Management can do is giving Quantitative Easing will he helping the corporates, but instead they can continue to give it to people who're working in Public Sectors or People living below the means. This will automatically create demand in the market, as they're good spender's. But even if Republic Government comes nor Democratic Government, the gainers will be the Corporates. They with due intensity spoil the market or change it according to their benefits. Last week as i mentioned, Stocks will rise and Bonds will come down. Asset purchases will not be guarantee reduction in unemp

Bond Prices Will Go Up - Think of Interest Rate Hike

Due to strong employment growth and fall in unemployment to 7.6%, the market thinks that there will be hike in Interest Rate. So the bond prices started to move up thinking that Federal Reserve Management is planning to increase the interest rate. United States Dollar[$] too will be seeing hike in the money market. The 10 year Bond increased to 2.7%, but it's only the temporary movement. Don't invest in Bonds. First, the market shows the Bond movement, then if there's no hike in Interest Rate the Bond Market will crash and Stock Market starts moving up. More money must be pump primed in the market, but the Federal Budget has shown USD$ 85 Billion cut in expenditure. Slow in Bond Buying in the short term will increase the Interest Rate in the long term. But in the future expectation will be high, if Inflation crops up. We expect Short Term Bond Rate to increase by 2015. This month the market is expecting the Unemployment rate to come down, but it will be difficult as cur

United States Economy is Growing, Invest Now and Gain More

United States Economy Management is in the path of Growth. 195,000 new jobs had been created in June 2013 and unemployment rate had fallen to 7.6%. Europe is already in recession, Federal Government had made the spending cuts and to tame inflation taxes will be increasing. The forecast was above the estimation of 165,000 jobs to be created, but the figure outwits them. Now the United States Dollar[$] will be growing stronger and bringing all the currencies down. Tomorrow invest in USD$ and short all the currencies. Leisure and Hospitality are the major contributors in the job market. Then the Professional & Business Services too added. The notable thing is that Construction Industry has already added 7000 jobs ie., the Real Estate market is cropping up. For those who've enough money can buy real assets and it will double your investment in the coming three years time. This will be helping the normal person to make more money out of it. Manufacturing too added the jobs in t

Rupee Has No Exchange Rate Target: RBI Governor

Rupee has come down so low, due to wrong Management , which everyone was expecting the target of US$ 1 = Rs. 60 in the year 2015. But it has reached the target at the time of 2013. Where the investors must invest and why? If you're the currency player from India, you can short[Sell] Indian Rupee and for long term buy United States Dollar[$]. United States Dollar$ will be peaking up. Due to this, Rupee, Euro, British Pound, Commodities, etc will be getting the beating. Indian Rupee will reach US$1 = Rs. 100 in the coming year. The reason for this is that Indian Economy is suffering from Current Account Deficit[CAD]. Due to recession it is suffering from Trade Deficit too, whereas Export is less than incoming imports. Indian Economy must export whatever products it get and increase the Foreign Exchange[Forex]. But our Government is not thinking about that. Indian Stock market is going to stay around 20,000 points but it will be falling faster. This is due to overburden of defic

Invest In United States Dollar [US$] Now

Indian Economy is affected by Flu, as United States Management drives home after the shortening of Quantitative Easing[QE]. Not only India will be affected, all the Asian economy, Europe and other BRICS economy will be effected. Commodities will be sky-diving from the top and Dollar will be remain supreme. Other Currencies will also get the beating. India Rupee has reached the lowest of Rs. 60 to a Dollar. Still Indian economy will be weak, as its Current Account Deficits [CAD] will be rising. Indian Authorities always depend mainly on Foreign Institutional Investors [FII's] and Foreign Direct Investment [FDI]. Actually, no country must depend on FII's and FDI's as it can't be dependable. Investing in United States Economy is considered to be safe haven for all investor's including FII's and FDI's. If United States economy runs downhill, Investors will ply out, invest in other countries and make the stock market balloon faster. When they do investment th

Chinese Market is Slowing, Stop investing in Metals, Crude Oil, etc

Chinese market which was a booming market in 2008-09 is bearish right now as the Shanghai Composite Index has lost 20% of its chime, which's considered to be low in the past since 4 1/2 years. People Bank Of China consoled the investors, but the actual fact remain the same. People Bank Of China has increased the interest rate to 25%, which has send the red signal to all the investors. Now, buying money at this rate will not create more investments. The Chinese Government is curtailing the money in the market and will keep the tap closed. As the 25% interest rate will change the habit of the people, less spending and more saving. Money market will be freezed. Apart from that the Chinese Government Management want the Banks to clear the bad debts at the earliest. When cheap money were pumping in 2008-09, lot of bad debts had been created, which in future will create run on the bank. Apart from that, badly run banks must be pointed out and restructured for the future of China. If

FED Policy and the World Economy

Federal Reserve Chairman has already spooked out Management policy to curb the injection of US$ [Dollars] into the economy by six months. This will also change the monetary policies of different countries. Apart from that, all the monetary systems will take time to settle too. First thing is that the asset purchases come to its end. Inflation in United States is considered to be normal at 1.05% and in the year end it can reach 2%. Due to this, there is the change to have a change in interest rate fixation by Federal Reserve. American investors world wide had started to withdraw funds from the world market and started accumulating in the United States market. With this policy, we can see the gaps in the stock markets world wide. Heavy losses will incur too. Second option, is the unemployment rate of USA is to be seen. Fall in unemployment rate will trigger change in the above mentioned policies. It must reach between 6% - 6.5% from the current scenerio. But the exit policy will be at

Fed Stops Quantitative Easing [QE]

United States Federal Reserve Bank business Management is stopping the QE as it mentions that US economy is picking up the growth. American stocks are improving very fast, first time after the recession. When Federal Reserve management style is stopping the buyback of bonds which means more money will not be coming to the economy. Gold declined by 3%, Silver dropped by 6% and crude oil fallen by 3% in the commodity market. United States Dollar improved faster and other currencies will decline too. United States Bonds too started to fall and stocks will be picking up. Another thing which frightens the world market is that Chinese economy started to slow down. As it started to slow down, the demand for metals, crude oil, production decelerates. China, India, Brazil, Russia, Indonesia are affecting the heat of recession. They were considered to be economy of the modern era. Now USA, Europe will be taking the place of these economies. Chinese and Indian market is looking for some monet

Indian Rupee at the lowest level, but still more to go

Indian Economy is ruled by Dr. Manmohan Singh, pioneer person who started the liberalization in India, Finance Minister P Chidambaram, Reserve Bank Governor and Raghuram Rajan, Advisor of UPA government plus the group of ministers who can take it to good heights. But actually now, we are getting low day by day. It's the mistake they did is that they stopped reforms in the midway and waited for the warning. Now, our exports are very low and imports are peaking up. Industrial growth are considered to be 2% and agriculture growth remains the same. USA, Europe and other advanced countries are just coming out of recession. The demand of the world is low but the price of foodstuffs in advanced countries are higher. India can take this opportunity and export half of the foodstuffs which is kept under the food security system. Right we have almost 39 million metric tonnes of foodgrain, which is rotting in the warehouses. As we export foodgrain, we will get a good chunk of dollars as f

Why the countries are ending up in recession?

It's not because of the Government Management Policies but the policies are not reaching the poor and reaches only the high net worth individuals [HNI]. Their wealth has been increased from US$ 40.7 trillion to  US$ 46.2 trillion and it can be increased to about US$ 60 trillion in 2015. USA is having lot of investors and they make money by investing in stocks, bonds and real estates. But, the rich people are making money, the number of poor too are increasing. 80% of the people are having 20% of the resources to use and whereas 20% are amassing 80% of the global resources. This is unjustified. The poor are not even getting $2 a day whereas the High Networth Individual's [HNI's] earned US$ 5.5 trillions [US$ 550,000,000,000] within a period ranging from 2007 - 2012. At least the rich must part half of the money to the poor in charities so that they can have at least 4 basic things like food, shelter, clothing and education as the basic rights. This justification twists

Sensex Will reap more if we stay Invested Till 21,500

This time the Reserve Bank Governor did'nt do the rate cut as expected by the market followers. This made the market to fall too. But, that Management move is a tactical move as Indian Finance Minister and the market will stabilize in between. Inflation is coming down. we've already cut 125 points since April 2012, so more cut will make to create more speculation only. Now the market will get stabilized, the more reforms will take place. Infrastructure must be developed according to world standards. Exports must improve, for that according to food security bill, we've almost 39 million tonnes of foodgrains which is lying rotten in the warehouses. Apart from that our warehouses are not up to the mark. So, half of the foodgrain stocks can be exported which will bring in more foreign exchange to our economy, which will improve the Indian Rupee [appreciate]. The next time the Reserve Bank Governor will cut the Bank Rate and which will take the sensex pass 21,000 mark. Bef