Market Mantra

Government of India has come out with an Offer for Sale(OFS) for RVNL. Together it intends to dilute close to 6% through Offer for Sale(OFS), Green Shoe Option(GSO) and Employees Stock Option (ESO). It intends to comply with the statutory obligation of arriving at the threshold holding of 75%. Besides that it intends to relpete its coffer with sufficient cash. It being an election year it may need it for the electoral free bees. The offer price is at a discount of the market price, that is RS. 119/-.

Instead of going for the piecemeal dilution the government should have gone for a strategic divestment in the favour of a technical strategic investor. It would have got a premium for its offering.

Dow Jones closed higher for the 13 consecutive sessions yesterday on 26 July,2023 after a gap of 36 years. It had happened last time in 1987. If it closes higher once again on the 14 cosecutive sessions then it will break the record of 125 years. It had last happened during 1897.

Indian stock markets closed down today. Sensex closed down by 440 points @ 66266 and Nifty closed down by 118  points @ 19659.

16 August,2023 Desperado, that's what can describe this government which is desperate to replenish its any how. This government has levied Wind Fall Gain Tax(WFGT) across all the petroleum products twice in 15 days. 

G20 concluded on a positive note. South Asia Economic Corridor could be considered as its major announcement. However, there isn't much concrete and conclusive in Delhi Declaration about environment despite the fact the harsh weather played spoil sport and venue was deluged by the rain water. Adani Ports will be a major beneficiary of the South Asia Economic Corridor. The corridor will be financed by all the participants of it. 

USA has 3 trillions as debt. There is a lesson in it for those who say, 'The government has no business to be in the business.'

Countries like Qatar, Kingdom of Saudi Arabia and UAE run surplus because they own businesses all around the world.

28 September 2023: Offer for Sale(OFS) of SJVN and multiple GST recovery notices to many companies like Delta Corp and ICICI LOMBARD denotes the desperation to squeeze more and more money before the general election. Last time the government had asked the RBI to release a few lakh crores from its trove which it plainly denied on the technical grounds.

18 October 2023: After SJVN it's time for HUDCO OFS. Next is ITI? The news flows and price pattern suggest so. It had happened the same way in the case of SJVN.

OFS after OFS. After SJVN it is time for NHPC. And after it will be the time for milching  dividend.

Aliraj Pur

Aliraj Pur is the most impoverished place in the whole of India. The place suffers 76% poverty. Which is well above national average. The place is a tribal area. People of the place are so impoverished that sometimes they go without foods for two consecutive days. Which is unthinkable in the modern and civilised society. 

Despite being located on the bank of Narmada River the land is infertile and barren. It yields almost no or low produces which isn't enough for the people and their cattles. That's why not much of the cattles are found there.

People of the area are to be blamed for the situation. They cut down the trees in the area for the sake of burning them as fuel. Cutting down the trees resulted in deforestation which led to disappearance of the green pastures which led to difficulties in cattle breeding and farming. 

Reforestation of the area must be initiated immediately starting from the banks of the Narmada River. Forest will provide fruits as foods and surplus can be sold as well. Forest will increase the ground water level which will result in growing green pastures. Cattle breeding and farming can be taken up. Which will provide people with eggs, milk and meat which can be consumed as food and surplus can be sold as well. 

Central and State Governments can play very crucial roles. Central Government can take up the reforestation on a mass scale through MANREGA. State Government can set up Gau Shalas(Cow Protection Centres) which will give jobs to the local people. It can in turn develop its own dairy products brand like Amul.