Tuesday, December 17, 2013

Stupid or cheat?

Now we are all set of mid quarter monetary policy from RBI.

Already the blood sucking corporate mafia and financial markets gave their views and their reasoning through their broker analysts to RBI. Their point is that the vegetable prices are going to come down from next month, so inflation will cool down from next month. So RBI need not hike rates. In case if their conscience troubling them, they are allowed to raise the rates by 25 basis points. Now since there is no one to represent common man to RBI, they ( RBI) will do exactly the same. We will analyse this deeply.

1. Food inflation is only 14% of overall WPI.  If the 20% raise in food inflation in the month within 14% weightage comes down even to 10% next month how that is going to result to huge downtick of inflation? What about other components?

2. The baby steps of Subbarao amid Chidambaram's blackmailing is well documented. Still why we are raising rates at quarter point every time? even countries like Indonesia and Turkey have more spine than our central bank when comes to rate hikes. We need 1% hike at one go and that is to be kept for 6 months to solve this problem once for all.

3.  To control inflation, the rates should be more than inflation by atleast 2% points. 25 basis points is nothing and the system will easily swallow it and it also confirms the fact that Govt and RBI are not willing to control inflation and this adds to inflationary expectations.

4. People have spoken through assembly elections and if still congress does not get the message then one thing is clear. Government and rBI wants to help brokers at the expense of common man.

5. I have written amply about the 'food inflation' and 'supply side' bull shit theories. these theories are written by idiot economists to hoodwink the public and it is sad that many people fall prey to this. When inflation ruled at below 4 or 5, were we not have 'supply side' issues?

6. People who ignore this points in my opinion may either by stupids and I dont think they can be so stupid and if not, they must be cheats. one of these two. YOU CHOOSE.

7. In the last 5 years, our interest rate never even close to touching the inflation figure and forget about the inflation +2 and also we do not follow CPI like other countries do.

8. Now Raghuram Rajan's credibility under stake. He has to take one path. Is he falling under the category of  stupid/cheat or he really a economist/patriot?

9. The single minded fanatic focus on 9% GDP landed the country in great mess. 9% GDP - minus 12% inflation and we are already going down. What the F***?

10. And even a child won't believe govt figures. Then I think the inflation must be above 20% and it is ironic some people celebrating 9-11% salary hikes when inflation well over 20%.....? what a joke?

Good Reads




Monday, December 9, 2013

Price rise contributed to defeat - Sonia

Strangely Sonia admitted inflation contributed to their defeat. What a joke.

Economic indicator of UPA government is Nifty/Sensex Index. If that is hitting all time highs they why they should bother?

All along they helped real estate mafia and share market sharks. Consequently it contributed to inflation.

Now they are victim of their own deeds. Why shedding crocodile tears?

Picture abi baaki hai

Where is the great manipulator Chidambaram?

They should atleast now understand markets are an animal which cannot be satisfied by anything and ruling class aim is to satisfy people and not markets. Will they learn the lessons?