Badla votaries await manna to lift market from depths of despair
Market-players say they expect a bounty from the monetary and credit policy for the first half of 1998-99 in the form of bank financing of badla. Bombay Stock Exchange, the leading votary of badla funding, is frantically pitching for badla financing by banks with presentations being made to leading banks about its advantages for the market and banks.
Unit Trust may peg coupon on MIP-II at 12.5%
Despite the fall in interest rates, the Unit Trust of India (UTI) has decided to peg the rate of return on its second monthly income plan for 1998 (MIP-II) at 12.50% payable monthly and 13.24 payable annually. This is the same as the rate of return which had been offered to investors in the MIP (I) which had closed on March 12 and has garnered Rs 970 crore.
NSE debt panel favours short-selling in gilts
The NSE Debt Committee, set up in 1996 by the National Stock Exchange (NSE) to facilitate the development of the debt markets, will shortly table a proposal before the Reserve Bank of India (RBI) recommending that short-selling be permitted in gilts. As of today, short-selling is permitted in the forex and equity markets in India, but not in the government securities market.
FMC for marketing commodity bourses
The Forward Markets Commission (FMC) feels that there is a strong need to create awareness among international traders about the country's potential as one of the fast upcoming commodity markets of the world. The recently liberalised Exim policy, released on April 13, The new Exim policy has given a renewed thrust to agro exports and imports (barring oilseeds) as part of the government's pronounced preference for the development of the country's agricultural sector.
Aluminium to stage a recovery on LME
Aluminium, which is witnessing a downtrend on the London Metal Exchange (LME), is likely to move upward and change its course shortly. The position of charts suggest aluminium prices are set to enter into the bull orbit and the metal is likely to move in a band of $150-$200 per tonne in the near future.
Darjeeling tea planters resort to organic farming
Organic farming in tea, especially in the Darjeeling gardens is fast gaining ground. Apart from clinching better export deals in the European market, such kind of farming has helped in the retention of top soil and kept it alive with micro-organisms, planters who have resorted to organic farming practices said.
