Today Free Tips 23/06/2010

Introduction On Stocks And The Stock Market- You may have often noticed that stock market is one of the most important aspect financial news. It is so vital that channels like CNBC is devoted to covering all facets of the stock market along with other financial news. You can interpret stocks to be the backbone of the financial market. If the buying and selling of stocks also known as stock exchange was not possible then maybe companies would become dysfunctional. You can buy stocks of many companies who put up their stock for sale in order to gather capital after reading up on share tips info. Basic Information On How The Stock Market Works- Stock market is basically the place where you can buy portions of a company also known as shares that are up for sale to the public. Stock exchange is done by companies who want to gain capital for operating and expanding. When you want to buy stocks of any such particular company you should extract as much share tips info as you can from experts regarding the value of the particular company’s stock. Such a company is likely to buy back all the shares it has [...]

The price of the precious metal has seen another downfall today. It continued to drop further by Rs 48 to settle at Rs 25,836 per 10 grams. The ongoing weak global trend made the speculators lessen their exposure in the stock market. The price of the bullion, at the MCX (Multi Commodity Exchange) for delivery in the month of June decreased more by Rs 48 to close at Rs 25,836 per 10 grams. Earlier, the price of gold at the MCX was placed at Rs 25,884 per 10 grams. Going on the similar lines, the price of Silver for delivery in the month of July also dropped further by Rs 174 to settle at Rs 42,640 per kg in comparison to its previous close at Rs 42,814 on Friday last week. The price of the bullion in the international markets determines the price trend to be followed in the domestic market. The gold fell globally for seven straight sessions on Friday. The exchange-traded funds recorded their lowest in the last four years following the investors cutting themselves from the precious metal and the dollar holding on to a strong position. Spot gold decreased by 1.85% or $ 25.70 to settle [...]

In the month of April this year, the drop in the gold price kindled a ray of hope for the nation. India hoped to reduce its CAD (current account deficit) so that less money is spent on buying the yellow metal. On the contrary, the lowering down of the prices of the bullion surged an appeal for buying gold. The drop in the gold price is a record low taking the last two years in consideration. This lowering down of the price of bullion gave rise to the buying spree of the customers. People have been buying the yellow metal unconventionally. According to the chief economist at CARE Ratings, Madan Sabnavis, the surging demand for the yellow metal had annulled the due advantage that the nation’s economy would have had due to the lowering price of the bullion. The craze for gold in the people led to the widening of the current account deficit. In the October-December quarter, the current account deficit of the nation widened a massive 6.7 per cent of the GDP (gross domestic product). The analysts are of the opinion that the diminishing value of the Indian rupee is due to the increasing current account deficit of [...]

The bullion failed to maintain its stand at the 27,000 mark and slipped again. It slipped down by Rs 60 on Friday as investors aligned themselves in accordance with the position of the foreign trends. At the MCX (Multi Commodity Exchange), the delivery of gold in June slumped more by Rs 60 to rest at Rs 26,854 per ten grams. On the other hand, the price of Silver for delivery in the July month had risen by Rs 250 to rest at Rs 44,883 per one kg. The price of gold in the foreign markets that sets the price trend in the domestic market ranged somewhere near $1469.10 per ounce. The reason quoted by the experts is the weighing of better than anticipated employment statistics of US on bullion. However, investment in gold is taken to be a hedge against inflation. There are many factors supporting the above said appeal by the bullion. The decision of the US Federal Reserve to stay put with their stimulus program and the European Central Bank cutting down the interest rates are some of the factors in support of the gold’s appeal. On Thursday, the ECB was recorded at the lower of 0.50%. The [...]

In mid-April, the price of gold slumped drastically below USD 1400. It brought panic among the investors all across the world and as a result, they started exiting their investments made in gold. In India, it was altogether a different scenario as people started buying gold as if it was given free. One can see people queued up in large numbers in front of jewellery shops. This is evident that people in India are crazy for gold. This craze for gold among the Indians often accounts for the rapidly increasing CAD (Current Account Deficit) and for the malfunction of domestic savings to reach the fiscal market. India’s cultural values do not approve to financial extravagance and traditionally, they save more and spend less. In comparison to the worldwide household savings rate of 20%, India saves more. In the year 2012, the household savings rate of the nation was close to 30%. This made the yearly savings for India for the year 2012 close to USD 400billion. Unfortunately, just 2% to 5% of the household savings is invested into the Indian stock market. A major portion of these savings, around 45% finds its way into fixed deposits. A considerable amount of [...]

The recent crash in the gold prices was enhanced by the threat that Cyprus would do away with a considerable portion of its gold reserve to curb its critical financial crises. This resulted in a fear that it would start a chain reaction that would make the other European economies dump their gold. This is the prime reason for the fall in the price of gold. According to market analysts, this lowering down of gold price is extraordinary in modern history. According to the technical’s, at present the gold price is in the neutral range of USD 1,448 to USD 1,485. On Tuesday, the gold slipped back again as the investors continued with their lack of confidence in the yellow metal. The regular outflows from the Indian stock market in the exchange-traded funds have thrown some light on the lack of confidence by the investors. The experts are of the opinion that the increasing demand for gold will act as a hedge against the ever-rising inflation. The US Federal Reserve has shown intent to continue with its bond-buying program. This may result in rising and falling of the stock markets, which would tempt the investors to abandon bullion and invest [...]

The recent run for the gold has proven to be a positive sign for the Indian stock market. The CAD (current account balance) has benefited from the recent gold run. If it continues to remain the same for some time to come, the government will be able to implement that would regain the sentiments of the foreign investors. The price of oil is also coming down along with the gold price. The gold prices took a plunge in the beginning of this year. According to the experts, the reason for the decline is the value of rupee holding well against the dollar. The slowdown in the bond-buying program by the US Federal Reserve also contributed to the cause. The slowdown happened sooner than the market has presumed. This has turned out to be good news for the nation’s financial house. After oil, the gold makes the second largest imported item, accounting for more than 10% of the total import bill of the nation. The oil accounts for more than 30% of the total import bill, which is the largest of all the imported items. A considerable drop in the gold price in the recent days has greatly relieved the trade [...]

The Foreign Institutional Investors (FIIs) poured in heavily in the Indian equity market last week. The Indian stock market was infused with Rs 638 crore in the equity market by the overseas investors. This heavy pouring took place despite the rising concerns of the political uncertainty of the nation and the high current and account deficit. The net outflow for the week before April 15-18 amounted to Rs 681 crore in comparison to the net inflow for the last week amounting to Rs 638 crore. This net inflow came after a heavy outflow by the overseas investors in the week prior to last week. According to the data provided by the market regulator SEBI, on an aggregate, the Foreign Institutional Investors (FIIs) bought shares amounting to Rs 12,521 crore while on the other hand, they sold equities worth Rs 11,883 crore. As per the data available, this resulted in a net inflow of Rs 638 crore into the Indian stock market. The Foreign Institutional Investors also infused Rs 369 crore in the debt market during the last week. This heavy inflow into the Indian stock market comes after a week of outflows by the foreign investors. The experts on the [...]

According to the experts in the market, the Indian stock market is likely to survive the lurking crisis. There are very remote chances, next to negligible that the Indian stock market will face a crisis. Rather, selective bargain hunting is recommended by the experts despite the fact that the market at present is on the defensive mode. It is the fifth uninterrupted session that the BSE (Bombay Stock Exchange) Sensex failed to keep up to the mark on Tuesday. The major concern was the overseas investors reducing their wealth in the market what appears to be a monotonous take home pay reports in the current month. There is conformity in the market which has turned to be more on the defensive side. This has led to expressions such as ‘meltdown’ and ‘market crises’ being raised in the market. But the experts are of the opinion that selective bargain hunting makes more sense in the current scenario. This will also ensure that the Indian stock market does not face a crisis. The broader market is also not at its most attractive as of today. There are chances that the earnings of the broader market may drop down 10% in the financial [...]

The Indian stock market is amidst disappointment and fatigue which is seriously hampering the investment prospects. There are many reasons that contribute to the cause. The major points are the political uncertainty and the lack of decision making which has slowed down the investment prospects. The foreign fund inflow and the corporate earnings in the next few weeks will be watched upon by great intent by the experts. There has been an inability on the part of the government to handle the situation and remove technical blockage that has slowed down investments of billions of dollars. This acts as a contradiction to the nation’s aim of becoming a super power. Prime Minister Manmohan Singh lacks both the power and the leadership skills to push forth reforms into the parliamentary system of the nation. In one of his rare speeches made this week, he wanted the businessmen to have faith in the government. He blamed the global factors for the reduction of the economic growth rate in the nation. According to the senior executive of one foreign fund, the statement made by the Indian Prime Minister had little value and was considered more of a lame excuse. The actual reason is [...]

The Foreign Institutional Investors have poured in heavily into the Indian stock market in the first week of April. The FIIs have infused the Indian market with Rs 639 crore in the first week of the present financial year. This made the experts wary that there might be chances of an expected sell-off in near future. This sell-off will be amidst economic and political worries that have been threatening the nation for some time. The foreign investors have invested heavily in the Indian equities at the beginning of the new financial year. According to the data provided by the market regulator SEBI, from April 2nd to 5th, the overseas investors were the overall buyers of shares amounting to Rs 14,378 crore and sold equities worth Rs 13,739 crore. The total investment by the Foreign Institutional Investors into the Indian stock market amounted to Rs 639 crore (USD 118 million) in the first week of April in this financial year. This total inflow into the market is despite the fact that the Foreign Institutional Investors have laid more emphasis on selling equities. The FIIs have sold equities in 3 out of 4 days in the first week of April. The experts [...]