Indian Markets: The Global Cues Nonsense

Monday, February 16, 2009

Indian equity markets have to come down substantially...there is no other remedy.  Over-valuation is palpable and apparent:

  1. Earnings are down and will come down significantly
  2. China is spending its way to ....riot-control is all they can achieve...their buyers are broke and their factories are in standby mode
  3. India has no fiscal room given its deficits
  4. Elections are around the corner...never a positive indicator
  5. Monetary easing is mostly done..lower rates may help corporate borrowers but retail is not going to buy homes and refrigerators and TV's based on lower rates...look around the world for jobs and growing incomes are needed
  6. The Obama administration has proved every naysayer right, including me...they are trying to detox the economy with toxins...they are trying to inflate home prices which are already too high...
  7. No one knows what to do...and they are nothing and let the losses wipe out the holders and rebuild is the solution...but Obama did not run on the "No We Can't" slogan
Eastern Europe cannot pay its bills...Western Europe is left holding the bag...The mighty and powerful around the world are going broke...They do not go down quietly...

There is a powerful storm brewing...a hurricane the likes of which I have never seen growing..and it is on the move...get safely away from the shore...when you see a storm coming and its center is not veering away, it MEANS you are in its PATH...

Expect at least 25% down move on the Nifty...

Subscribe to Lee's Dhaba by Email

0 Post Comments:

Post a Comment

Add to Technorati Favorites

  © Blogger template Newspaper by 2008

Back to TOP