Real reason for Indian stock market outperformance?

seriously?
you should stand for the next MLA elections

I am saying based on what my college did. I studied engg only. You know LPG prices are high and my chairman wanted to save money on mess food. Mess fees were mandatory. So he invested in small bio gas plant , that saved like 80% of energy expenses. I thought the same gas can be used for any transportation. Interestingly there is an IIT paper where they said almost anyone can setup bio gas plant and they tried running CNG car engine with bio gas.

You mean a entrepreneur ? For all I know politicans draft easy policies for setting up plant, clear beauractic nightmare however govt can’t run any bussiness and neither it should

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yeah, if you say it works and that too in a big scale

I do have plans for that. Energy bussiness are always profitable and evergreen.

The issues are:-

  1. People need to leave this taboo and be okay with using bio gas for cooking. Hasn’t happened , govt tried it’s level best and gave up.

  2. Need to research how raw biogas works with IC engines and with aircraft engines

Thinking of crowd sourcing :stuck_out_tongue: to fund the entire thing, but the main issue everyone says raw biogas has hydrogen sulphide which leaves residue inside which I think is false as even petrol and diesel have hydrogen sulphide. It might be nice to read any research paper written by PhD scholar that experimented running a car on biogas and the effect it had on engines. Germany already has biogas bus though not sure if they use unprocessed biogas or processed one.

So yeah these questions are there.

Singapore is far more capitalist than India and it does this. Owning a private car and getting a driving license is very expensive there. Middle class can’t afford it. Not only this, their government decides the quota for number of private vehicles that can be sold every year and then auctions the permits for them. Only those who have permits, can buy the car.

Before that the govt first needs to improve public transport. Singapore is among the top if not the top in public transport facility. Comparing Singapore policy to Indian is like comapring Grape to Jackfruit. Population, geographic location, median income, the way the government makes income. Omg so many differences. If we start implementing that it will only start the downfall early.

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i did some reading yesterday and got the info that when the interest rate in our country goes up, the chances of currency appreciation goes up

ie if our 10Y rate is 7.4% and it goes up to 8.4% over the next year - then the chances of local currency appreciation is higher.

if our interest rates go down say to 6.5%, then INR will further depreciate

@Jason_Castelino can you throw some light or references on why you think otherwise ?

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For numerical example I just type interest rate parity in YouTube. I hope you are comfy with Hindi.

After watching this I felt like I was studying for CA FINAL again. :rofl::rofl:

Again. As I have mentioned above too, it’s all theoretical.

Then in that case don’t you think, Zimbabwean currency should have even the strongest ? :joy::joy::joy:

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as i deep dive into this matter, the subject keeps getting complicated.

What does the FIIs gain when they know the Indian currency is rigged to depreciate ? Their returns on the equity should outpace the INR devaluation to make any profit. Such a big risk !

USDINR +7.89% , Nifty -2.09% FY22-23 YTD - so the person who converted USD to INR and then invested in India lost more than an average retail trader who invested in INR.

If he started with 1000 USD ~ @75.91 USD INR = 75910 INR

invested in nifty50 would have resulted in 2.09% loss ie 74323.48 INR

converting it back to USD @ 81.91 conversion rate = 907.37 USD ~ -9.263% loss

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You must have seen FIIs selling even at lower levels and then buy it back at higher levels. They may not actually lose money here.

See Singapore is a small country relatively where I believe public transportation is evenly distributed, development is even too. Its not same in india. Everything you said was actually tried in india. A good example was railways , a Delhi guy may feel way good because he has trains 24/7 for commute because it’s junction while a guy in random town feel injustice because there is just one train in a day for commute inspite of them both paying same GST. Even if govt kept trains to places where there isn’t much traffic only for few ppl because they pay tax, i.e keep train availability even everywhere , the losses will be high and it has to screw ppl with inflation printing money. Also regions become unstable when development is uneven , MP’s and MLA’s take a big dig at difference. This is exactly what happened in Andhra where the region of Telangana was far developed, lots of private companies, jobs and infrastructure while the coastal side wasn’t really developed much . That’s how the rift happened.

Govt run anything always has politics especially if it’s a big country with uneven development. Its always best with free market capitalism. The govt should be able to balance it sane socialist policies. But the real issue here is our policies are proper only, it’s the trade deficit which is the big elephant.
Also you need remember some things here. Since we have regression way of taxing ppl via petrol, in reality private vehicle owners do certainly pay road tax , GST during maintenance but the majority of vehicles for most literally sleep in their house. people in India don’t drive much as in US. Even if you are able to reduce private vehicle petrol consumption, our country is rapidly developing at phase, trucks are essential backbone that needs petrol. So rising economy, rising development with rising crude oil demand which increases the trade defecit. The govt is pushing green hydrogen because of this but I don’t think that’s going to be reality in next 50 to 70 years because even developed didn’t get there.

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Don’t you people know India become a superpower in 2020 , its a Vishwa guru now, that’s why our markets are outperforming.

dont believe these stories sold by govt. they once told india will be 5 trillion usd economy by 2024.

just check the top 1 & 2 GDP nations and extrapolate how much we should grow annually just to reach there.

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He was being sarcastic probably.

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