Analysis with Shaurya

The New Year can be full of surprises, as there exists a vast amount of uncertainty and a mix of negative outlook & optimistic hopes globally. The main factors in focus are Fed's interest rate hikes, fear of global recession, and covid situation in China. American Market The difference between the US 10Y bond yield and US 3Y bond yield has turn negative. This is considered as a sign of upcoming recession. The 3Y bond yield is trading around current yield of 3.98% and the 10Y bond is trading around 3.56%, the difference being -0.42%. How come the negative difference a sign of recession? The logic behind this goes back to concepts of present value of money and also the relation between time and risk. Longer the time, larger will be the risk that an investor is taking (be it interest rate risk, inflation risk, market risk, default risk or any other risk). Hence, he will demand a higher rate of return on his investment. Also, a rupee today worth more than a rupee tommor

We have heard many times that the market crashed or th e nifty went down. There can be many reasons behind it. No matter what the reason (or the cause) is, it leads to a change in the stock trader's sentiments and the end result is the market either going up or down.  For a long time, it has been observed that foreign investors are the ones whose actions decide the final fate of the day. Now one of the reasons can be that DIIs (domestic institutional investors) are not as strong as the FIIs (foreign institutional investors) are. As foreign investors are an influential factor of the financial markets, in this article, we will first analyze whether there is any relationship between FII activity (amount invested or liquidated by foreign investors in stock market) and Nifty Index. I will then explain three big moves of recent time, which are the factors affecting foreign investments and in turn the financial markets. In the whole article foreign investors are the ones who are buying or

Even after several decades of First Oil Crisis and a lot of technological advancement … an increase in petrol and diesel prices still effects balance of payments of several nations and a common man's budget too. “Economics is study about how to meet unlimited need with scarce resources” – Laurence J Peter. This statement holds a lot of significance. People make a lot of money by manipulating prices (meeting their unlimited needs) via artificially adjusting demand and supply (scarce resources) be it stocks, onions or crude oil… etc. In this article we will see how demand and supply of crude oil were adjusted so as to control prices.   We can consider Petrol and Diesel as a relatively inelastic market in short run, which means that there are very few substitutes available so that you can shift to that substitute if prices for petrol increase. As petrol and diesel both are obtained from crude oil, so it becomes important to understand about what happened to crude oil pr