On Slack: Automating Decisions, Chasing Stocks, Inflation Targeting, Instant Cash-Out, Odd Forecasts, Retail Inflation, The Fed Delivers and more….

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Slack is where the daily action happens. We take pride in our diverse and always helpful member community which includes value investors, fund managers, and professional traders. Here is a brief summary of some of the interesting things discussed there in the last few days. Find all older ones here.


#macronomics: Retail Inflation increases to 3.65 per cent in Feb, WPI at 6.55 per cent

Firmer food and fuel prices drove India’s overall inflation higher in February, further dimming any possibility of a cut in interest rate by the Reserve Bank of India amid worries of hardening global commodity prices and expectation of vegetables turning dearer as summer approaches. Economic Times

#funds: Stopped fresh inflows in the fund keeping investor’s best interest in mind

Vinit Sambre of DSP BlackRock, on how stopping fresh inflows into the Micro Cap Fund would impact the fund and its investors. Livemint

#fx-commodities: Now, Manipulation in Currency and Commodities Markets Too

Moneylife

#stocks: IndusInd Bank acquires brokerage firm IL&FS Securities Services

IndusInd Bank will acquire brokerage firm IL&FS Securities Services in an all-cash deal subject to regulatory approvals, the bank said in a statement. Economic Times, Livemint

#trading-room: TRENDSPOTTING- Chasing stocks as part of the faithful

Following the trend is a popular thing in the stock markets. The simple logic is that if others have done it, they would have reasoned it out. And we would tend to think that the ‘others’ are experts and we will not do wrong to follow it. Often, this trend of following, becomes a ‘self-fulfilling’ one and make the experts stand out even taller. Bala Blogs

#macronomics: Odd forecasts suggest El Nino may set in by July

Some global models seem to suggest that the tropical Pacific may relapse into an El Nino phase as early as July, when the South-West monsoon in India normally reaches its peak. The Hindu Business Line

#macronomics: Inflation-Targeting Is A Dud, And The MPC Will Not Help Us Get There

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The latest wholesale (WPI) and retail (CPI) inflation numbers should raise serious doubts about the use of blunt monetary and fiscal policy instruments for achieving macroeconomic goals – including the crude targets set for inflation and fiscal deficits. Swarajyamag

#general: You may soon be able to withdraw 90% of your EPF money to buy your dream home

Government will amend EPF scheme to enable around 4 crore members of retirement fund body EPFO to withdraw up to 90 per cent of their fund for making down payments while buying homes, Parliament was informed today. Economic Times

#stocks: Security Depository NSDL Hopes To Launch Payments Bank By May

India’s biggest security depository NSDL on Wednesday said it has applied to the Reserve Bank of India (RBI) for the final licence for its payments bank and is aiming to launch the entity by May. Bloomberg Quint

#general: Deutsche Bank Said to Weigh Sale of Indian Retail Business

Deutsche Bank AG is weighing the sale of its Indian retail businesses as the German lender considers asset disposals to help boost capital levels, two people with knowledge of the matter said. Bloomberg

#general: Steve Cohen Is Trying to Teach Computers to Think Like Top Traders

Steven A. Cohen got rich by going with his gut on big trades. Now the billionaire trader is experimenting with another path: automating the decisions of his best money managers. Bloomberg

#general: Will the Success of Very Large Equity Schemes Work against Them?

Moneylife

#general: A 31-year-old who ditched her 9-to-5 with $1 million in the bank shares the spreadsheet she used to get there

Kristy Shen recorded all unexpected hits or bumps to her savings.  If you aspire to achieve financial independence or retire early, consider this piece of advice from Kristy Shen: Track your money. Yahoo Finance

#stocks: SpiceJet readies big retail foray; to own stores, take on major brands

The company will sell its own brand of products sourced from hundreds of vendors across the country and overseas. The venture will not be an aggregator like Flipkart, Amazon or Snapdeal. Money Control

#macronomics: The Fed Delivers a Hike and a Message

The Federal Reserve did more today than increase its benchmark interest rates by a quarter-point, only the third hike in more than 10 years — it also took an important step forward in a gradual policy transition. Bloomberg

#general: Hedge Fund Sees 30% Gain by Betting Only on Tomorrow, Literally

This hedge fund is only looking one day ahead. That delivered a 30 percent return in 2016 for the London-based Runestone Capital Fund, which crunched more than 700 variables to develop a quantitative model for trading U.S. equity index volatility. Bloomberg

#general-from the past: How safe is your money with cooperative banks?

The cooperative banking industry is a cesspool of politics, many cooperative banks have gone bust in the past and many more will probably go bust in future. Livemint

#bonds: Edelweiss Arbitrage Fund pauses AUM collection to maintain high quality investment performance

Edelweiss AMC, one of the fastest growing AMCs in the country, and the Mutual Fund arm of Edelweiss Group, has been managing Edelweiss Arbitrage Fund, which has delivered high quality performance since its inception. India Infoline

#general: Rajnath Singh to be the new Chief Minister of Uttar Pradesh, Piyush Goyal to get Finance Ministry: Sources

After five days of drama and speculation, BJP is set to name Rajnath Singh as the new Chief Minister of Uttar Pradesh. Financial Express

#bonds: Regulator mulls instant cash-out from mutual funds

The assets in control of MFs soared to a record high of Rs 17.9 lakh crore last month. Business Standard

#general: Cloudy with a chance of spirits

A bar on the cloud. That’s how city-based entrepreneur Prasanna Natarajan calls his two-week-old venture, Hip Bar. Simply put, “it’s a wallet for your drinks”. The app, available for download in iOS and Android platforms, allows one to reserve their favourite drinks by paying for it online, and then redeem it in a bar or retail store that sells alcoholic The Hindu

#general: Enemy Property Bill to bring windfall of Rs 1 lakh crore for government

Amendment empowers the Custodian of Enemy Property to sell such assets which wasn’t permitted under the old Enemy Property Act, 1968. Economic Times Realty

#general: A $33 Billion Manager Says History on Side of Indian Stocks

Viewed against its regional peers, the rallying Indian stock market is expensive. Looking at it in terms of its own past, however, a case can be made that there’s room to rise. Bloomberg

#stocks: Stock manipulation: Padmanabh Industries

Ahmedabad-based Padmanabh Industries, formerly known as Nilchem Industries Limited, is a chemicals trading company. For the quarter ended December 2016, the company reported no sales and net loss of Rs. 3 lakh.  Moneylife

#general: The dark secret behind India’s solar plan to bring power to all

India plans to expand renewable generation capacity more than three-fold to 175 gigawatts by 2022, with the majority from solar. Livemint

#general: Bank of Maharashtra files FIR against 50 people in UPI fraud

The state-owned Bank of Maharashtra has filed an FIR against 50 people for illegally pulling money using the Unified Payments Interface (UPI) and causing a loss of Rs 6.14 crore to the financial institution. Times of India

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