Helping You Build Wealth With Honest Research
Since 1996. Read On...

MEMBER'S LOGIN

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Revealed
India's Third Giant Leap

This Could be One of the Biggest Opportunities for Investors




Important: We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
By submitting your email address, you also sign up for Profit Hunter, a daily newsletter from Equitymaster
covering exciting investing ideas and opportunities in India.

AD

Inflation moves from food to fuel
Fri, 12 Mar 01:30 pm

Indian markets continued their downward trend in the last two hours of trade led by stocks in the realty, consumer durable and consumer goods space. However, stocks in the metal, oil & gas and auto sector continue to find favour among investors.

BSE-Sensex is trading lower by 13 points while NSE-Nifty is trading flat. BSE-Midcap Index is down by 8 points while the BSE-Smallcap index is trading 3 points above yesterday’s closing. The rupee is trading at 45.49 to the US dollar.

According to a news article, Bharti Airtel, has announced the launch of digital media exchange for integrated content delivery across multiple cinema screens, television and mobile handsets across various geographical areas. Moreover the company would cater to animators, gaming firms, media producers and banking institutions. With the 3G (third generation) telecom service expected to be launched soon in India, the company is positioning itself to leverage its presence in 3G space. While Bharti has not indicated its revenue expectation, this move is seen as the next step in telecom. With the competition getting more intense in the telecom sector this move by Bharti is seen as an effort to diversify its revenue stream.

Food inflation for the week ending 27th February came in a tad lower at 17.81% compared to 17.87% registered for the previous week. While the essential commodities continue to be expensive the rate of price increase has been falling for some time now. The declining trend would buttress the government’s claim that the prices would fall from April onwards. However, fuel inflation is spreading to other areas. RBI is of the opinion that overall inflation would hit double digits by end of March 2010 due to increase in prices of fuel.

Inflation is now broad based and spreading to other areas including manufacturing. Budgetary increases in excise duty and customs duty has led to a 6% increase in price of fuel on a weekly basis while on a yearly basis petrol prices have increased by 16.8%. While the leveling out of food prices is a positive for consumers as well as for food companies like Britannia and Nestle, rise in fuel costs is expected to spurt inflation, making a case for the RBI to tighten monetary policy.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

View all commentaries | Archives

Read the latest Market Commentary


Equitymaster requests your view! Post a comment on "Inflation moves from food to fuel". Click here!

  
ABOUT EQUITYMASTER

Since 1996, Equitymaster has been the source for honest and credible opinions on investing in India. With solid research and in-depth analysis Equitymaster is dedicated towards making its readers- smarter, more confident and richer every day. Here's why hundreds of thousands of readers spread across more than 70 countries Trust Equitymaster.

PREMIUM PRODUCTS
QUICK LINKS
POPULAR TOPICS
TRENDING TOPICS
FREE NEWSLETTERS
EQUITYMASTER SUPPORTS
  • HelpYourNGO
  • You Tube
  • Linkedin
  • Twitter
  • Telegram
  • Google Play

Copyright © Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited).

Whitelist | Refer | Terms | Privacy | Contact | About | Sitemap

Phone +91-9136015013

Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited) (Research Analyst)
SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Email: info@equitymaster.com. Website: www.equitymaster.com.
CIN:U74999MH2007PTC175407

Name of the Compliance & Grievance Officer: Ms Sonal Ramachandran
Telephone: +91-22-61434003 | Email: compliance@equitymaster.com

LEGAL DISCLAIMER:
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

All rights reserved. Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited) (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.