Inflation is like a “wolf in the skin of a dog”. You need inflation to boost your consumer demand and output, but it’s also a silent killer of your wealth. India, like all other economies, is now grappling with this complex impasse. Meanwhile, on Dalal Street, investors are unsure whether to buy every trough in this “ hated ” bull market or wait for the post-Covid era to arrive. Read this and more in this weekend’s “Long & Short of Markets”.
Bet value or trap?
ITC is available at a great price compared to its other large FMCG peers. Can this be a long-term value bet or a trap investors should avoid? Here is more information on the uncertain outlook for ITC, one of the most discussed stocks on Twitter. >>
Trading vs investing
Rakesh Jhunjhunwala has a tip for newcomers to the stock market: don’t trade, the math is against you. Learn more about what the “Big Bull” has to say about reading charts, trading algo and dealing with losses. >>
D Street Marathon Runners
If you’re looking to stay in the market for 3-4 years to get returns, you need marathoners, not sprinters. The black horses of the future are currently the outcasts of the streets. Here’s how to create an all-weather portfolio for the next 3-5 years. >>
RBI’s link to bonds
If you crave higher returns on your bonds and debt funds, now is the time. RBI’s coup “a solution to many problems” worked wonders as the central bank slashed performance to below 5.9 percent to become the best player in Asia. Read here to learn more about the impact of the RBI’s liquidity measures and bond-buying actions on the debt market. >>
With India’s industrial production only increasing at a snail’s pace, inflation accelerated by more than 7 percent. This creates a huge growth-inflation puzzle for the country’s monetary policy makers. Here is more about the conundrum that rising inflation and lackluster industrial production have imposed on the Indian economy. >>