India, Keep Rising !!

25 June 2012

Positive Side of Crises - Opportunities Unlimited

New we read : 

  •  Political paralysis takes India's GDP to a nine-year low  
  •  India’s fiscal deficit ballooned to 5.9 percent
  •  RBI to continue tight liquidity stance till inflation eases
  •  Soaring crude oil prices are the biggest risk
  •   Corruption in India are major concerns -  2G spectrum scam, the Commonwealth Games scam and the Adarsh Housing Society scam, Coal Mining Scam
  •  The current economic picture of the globe looks hazy as the euro zone crisis concerns persist
  •  The rupee hit a record low against the dollar, hurt by dollar demand
  •  & Market is down
Positive side - growth measure

There is willingness to act on growth measure.

Ruling coalition has accepted there are problems. Prime Minister Manmohan Singh has sought to assure investors of every step, including reforms, to restore confidence on India while also hoping for higher growth, lower inflation and correction in the depreciating rupee

Spain bank bailout has been agreed in quick time. Greece crisis remained in news for prolong time as compared with Spain bank bailout.  Thanks, Spain bank bailout is not dragged for long time.

Italy’s Monti Says EU Must Adopt More Aggressive Growth Measure.

EU Leaders To Call For ‘Further Urgent Measures’ On Growth : The 27-nation bloc will pursue growth measures at a time when, in the words of European Central Bank President Mario Draghi, “there is no inflation risk in any European country” and the ECB will continue to provide liquidity to the banking system. Draghi is working with EU President Herman Van Rompuy, Luxembourg’s Jean-Claude Juncker and European Commission President Jose Barroso on a blueprint for further integration of the 17-nation euro region.

All news has been there and is discounted in market.
We have seen market touching low around 15200 in last dec-11. Since last six month though circumstance were negative, market did not broke dec-11 low.

Attractive valuation

We don’t say there will not be any more bad news in market
We don’t claim there is no further downside in market. 

What we see is Valuation …. Valuation is getting attractive. We advice to invest in installment / over a period in market. Keep buying stocks at every dip.

Happy investing

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