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May 16, 2012

Sensex is Low ~ Rupee is Low ~ WE ARE LOW ! ~ Inflation is High ~ Current & Fiscal Deficit is High ~ Oil Prices are High ~ FII & FDI Trust Deficit is High….and yet the Government continues to be on the defensive and keeps claiming pyrrhic victories…and after years now admit Global Macros are severely impacting us !

They say there is Intelligence leakage when Government keeps defending their inability to find sustainable Economic solutions …I disagree !…there has to be Intelligence in the first place for there to have been any leakage !….pardon me for being unkind here…but it truly is frustrating when India continues to squander it’s resources

Sensex is Low ~ Rupee is Low ~ WE ARE LOW ! ~ Inflation is High ~ Current & Fiscal Deficit is High~ Oil Prices are High….FII and FDI Trust Deficit is High…..and yet the Government continues to be on the defensive and keeps claiming pyrrhic victories of GDP Growth rates and Employment Plans and record Foodgrain Production and High Fx Reserves…and after years now admit Global Macros are severely impacting us !….and our near 80 year old  FM,addressing the Rajya Sabha at length today on the state of our Economy keeps living in the Past, referring to past History of 1948 and 1952 and late 1960s …and that another Committee may be formed to look into current Economic issues !….Good Lord ! yet Another Committee !…suddenly the FM  seems to have realised Stark Reality…talks of being pragmatic,realistic and keep eyes on the ground !….earlier there was a psychosis prevalent…ambitious PSU Disinvestment was budgeted…as were lower deficits and higher growth….none achieved….never would have been,when targeted in the first place !….repeated assurances were given as to India remains a Growth Story and not to worry

Now the Government tells us it is a worrisome and anxious economic situation that India faces….Why could they not have been Honest in the First place rather than giving false reassurances…either it was deliberate or it was a lack of vision and intelligence to realise this !

Where are the selfless Economic and Political Luminaries and Visionaries ! ?…India desperately needs you’ll now more than ever !…to bring back on Track of Economic Prosperity a derailed Economy !

Sensex Prepares to break 16000 on the downside as Greece prepares for fresh elections…IPO Woes continue…another one bites the dust…Plastene India withdraws issue as received poor response…Interestingly SEBI continues Expansion Spree !…and Reliance continues to Buy back it’s shares !

Now you know why I’ve not been, of late, Valuing IPOs on this Blog …because of the high probability of them being withdrawn either because they are unworthy in the first place or simply overpriced or dangerously both !

IPO Woes continue…another one bites the dust…Plastene India withdraws issue as received poor response…Yesterday evening,Book Running Lead Manager, Motilal Oswal Investment Advisors Pvt Ltd informed the Exchanges that The IPO of Plastene India Ltd is being withdrawn due to unfavourable market conditions….The Issue was priced in the range Rs 81 to Rs 84 and was barely subscribed one third…Company,promoted by  Parekhs,is in the Flexible Packaging manufacturing business

Today the IPO of Speciality Restaurants Ltd has opened inviting offers in the Price Band Rs 146 to Rs 155…a bit steep,in line with valuations that Jubilant Food (Dominos Chain) commands…the BRLM is Kotak Mahindra Capital Company Ltd

Earlier this Month,the big IPO of Rs 1600 crs + of Samvardhana Motherson Finance too was withdrawn due to a poor response…while the IPO of Tribhovandas Bhimji Zaveri barely mustered subscription,but got through and is listed below Issue Price of Rs 120

As Greece prepares for Fresh Elections on June 17,2012 after an impasse in forming a coalition government,our Sensex prepares to break 16000 on the downside in early morning trading as I blog

In such an Environment,interesting to note that SEBI seems to be prospering………continues on an Expansion Spree of Hundreds of Crores…..now looking to own it’s own stand alone building in New Delhi and Residential Premises worth hundreds of crores….like it has done in Mumbai

…and Reliance continues to buy back it’s shares in terms of the Public Announcement it made on January 23,2012..as of yesterday it had bought back 14132375 shares at an aggregate of Rs 1028.71 crs (Excluding Brokerage,Service Tax,STT,Stamp Duty,Exchange Transaction Charges,and SEBI Fees)…that’s an average of Rs 728 per share….currently it quotes at 52 Week Lows @ Rs 675…check my recent blog on Reliance

Reliance Breaks Rs 700 On The Downside Yet Again …This Should Test Conviction Of Even Loyalists…The Name ‘Reliance’ Appears To Be A Misnomer And Misplaced Too !
May 10th, 2012

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