| TED spread | 3.63 |
| S&P 500 returns | -0.62% |
| VIX | 70.33 |
| Nikkei 225 (9:40 AM IST) | +1.49% |
| US Financials index | -1.88% |
| ICICI Bank ADR | -5.79% |
| Call rate on 17th | 4.16 |
| Currency futures (9:40 AM IST) | 48.96 |
- RBI cut the repo rate to 8% (1 PM).
- Paper on India's policy response to the global financial crisis, by Jahangir Aziz, Ila Patnaik and myself.
- SEBI circular on valuation by debt funds
- Needed now: Dr. Singh's Manmohan moment by Shekhar Gupta on the front page of Indian Express.
- Interview with Arun Shourie in Indian Express.
- Two editorials in Financial Express: link, link
I really had some difficulty in rationalizing the SEBI Circular. Isn't it like the rating agency helping the regulator to issue it when it should have been actually trying to fix its own methodology to capture why the market is valuing its ratings in such a huge range ? Or is that, the agency is constrained from downgrading some of these papers ?
ReplyDeleteSecondly, does the regulator really need to guard against under valuation (+limits)? I feel conservatism can atleast have a free hand. If at all, chances of undervaluations to allow favoured entries or for interscheme transfer can be detected from inconsistencies in applying the discretionary markup, if you want to see.
Regards,
Anonymous1