Category Archives: India

Touching Clovers Is Like Gold, Not VIX

Thus far on the blog, we have written a few pieces about busts in the stock market. David Blitzer wrote, “Whenever this bull market ends, it is likely to be with a bang, not a whimper.” He also wrote about Deflation, Debt and Disaster where he pointed out we may be on the edge of deflation, which Read more […]

US Quantitative Easing – A boon or bane for the “Fragile Five”?

2013 was a seminal year for US equities with markets going up 33%. Emerging markets on the other hand did not fare so well and were relatively flat with a negative 1.27%. India ended the year down at 4.8%, hit strongly by currency woes, but the year was very volatile for most emerging markets. Some Read more […]

Surprises Come With Attractive Yields

Despite the headline news on India’s high deficits and low economic growth, the Indian bonds remain very popular among investors who hunt for yields. Let’s be realistic, while a 10 year U.S. Treasury Bond pays 2.7%, a similar maturity of Indian sovereign Bond is offering a yield of 8.8%! The S&P BSE India 10 Year Read more […]

Shariah Indices Closely Track Conventional Benchmarks in 2013

S&P Dow Jones Shariah-compliant benchmarks covering the U.S., MENA and global equity markets performed in line with their conventional counterparts in 2013. In fact, the S&P 500 Shariah, S&P Pan Arab Composite Shariah, and the S&P Global BMI Shariah, each closed the year within 50 basis points of their non-Shariah counterparts – quite remarkable in Read more […]

COCOA Is The New Valentine

Perception might be that lovers everywhere have always enjoyed the confection of affection, chocolate. However, it has taken some time for many Asian countries to adopt the taste, but it seems now they have fallen in love.  The Singapore-based Cocoa Association of Asia said that in the fourth quarter of 2013 demand rose 10% from Asia including Malaysia, Singapore Read more […]

Chinese New Year: Element of Wood

In honor of the Chinese New Year, 2014 – Green Wood Horse (馬 午), CCTV interviewed me on lumber.  As for other commodities, The Year of The Horse should be prosperous for lumber, especially for China’s sawmill industry, enabling them to support their construction boom by importing whole logs and sawing them into lumber at a Read more […]

Olympic Metals: Going For The GOLD?!

In honor of the upcoming 2014 Winter Olympics in Sochi, I thought it would be a good time to discuss gold, silver and bronze that are the metals in the Olympic medals. Since copper is the main metal in the bronze alloy, we’ll use copper as the index metal. Let’s start with gold.  Recently, I Read more […]

Indian Fixed Income or Equities: Know your onions!

The fixed income market is quintessential for the growth of the economy. They serve as one of the mediums for the government to raise money. In India the fixed income market has been attaining the depth as well as maturity over the years and the government securities play a dominating role. The on-the-run 10 year Read more […]

Getting Grim For Gold Miners?

If you are worried that gold prices are falling, the prognosis could be much worse for gold miner stocks. Although many investors believe the performance of gold miners is just like the performance of gold, this is not quite the case.  If investors look at correlations alone to determine they are getting their gold exposure Read more […]

What Is The Golden Link Between $275,000, 750 Million AND -32.8%?

The hint in the title is GOLD and the answer is the year 1981.  In 1981, a Superbowl ad was $275,000, 750 MILLION people watched Prince Charles and Lady Di get married and GOLD lost 32.8%.  In 2013, the cost of a Superbowl ad was $4 million, Prince William and Kate Middleton welcomed Prince George, Read more […]