[Simhi]

Originally Posted by Pancham

Guys I just realised, they deducted 20% TDS on my ITC dividend this time -which is weird as I have furnished my PAN details and my dividend amount is less than INR 5000.

This was second dividend payment by ITC in this financial year. Kindly check the percentage deducted after summing up the two dividend amounts.

[Imran.Syed]

What are some good ways of buying and holding USD in India? Looking for easy convertibility back to Rupees and low commissions and charges.

I don't want to park my savings in a savings bank account nor do I want to invest it at the moment, currently accumulating to invest in the near term.

Looking at these FX apps like OctaFx & Expert Options but they seem a little sketchy to me.

[MT_Hyderabad]

Experts, I am heavily invested in two of the stocks, which had entered F&O stock ban list.

The news:
Indiabulls Housing Finance, Balrampur Chini, Delta Corp, Sun TV, Vodafone Idea, L&T Finance Holdings, and Steel Authority of India (SAIL) are the seven stocks that are part of the F&O stock ban list by the stock exchange for today - 25-Mar-2022

I am not sure what this means, a simple search leads me to this info from moneycontrol:
"If the open interest in a stock crosses 95 percent of the market wide position limit, then its F&O contracts enter the ban period"

Sorry for my ignorance; the question is, is this a good indication for the stock or a bad one? I think all bans are bad.

[SmartCat]

Originally Posted by MT_Hyderabad

Sorry for my ignorance; the question is, is this a good indication for the stock or a bad one? I think all bans are bad.

No effect on long term performance of stock fundamentally. But technically, FNO ban reduces speculation and liquidity in the stock. Only serious investors will be trading in that stock after the ban.

[deetee]

This week the overall market entered into a crucial zone. Next week will be a showdown. RBI has thrown a lifeline this Friday. Market is hanging by that. If the results next week or something can boost , we can expect another leg of rally. Else , if the markets fall, it will be another crash much deeper than wartime lows. Specifically, Nifty safety net is between 17400-18100. If either limits are broken, it's going to be a large move in the direction. If it breaks 17400, I will cash out my profits and sit tight till the bottom appears solidly.

[deetee]

First major corporate results are out. TCS posted their Q4 and FY22 results this evening. In some aspects they met expectations and in some fell slightly short of expectations and short of even company's own forecast. This maynot be taken warmly by the market. I would say, watch how the market reacts tomorrow, as this would be the early indication of what to come later as the results pour in. My own bets would be that we can see some correction in stock price as the results are not 'exhilarating' and year ahead doesn't particularly seem very bright.

[carboy]

Originally Posted by deetee

RBI has thrown a lifeline this Friday.

What lifeline is that?

[deetee]

Originally Posted by carboy

What lifeline is that?

While the global major stocks were receding due to rate hikes and inflation worries, RBI refrained from hiking rates or making any hawkish comments. That helped to hold the fall in major stocks that day. Anyway that was then, doesn't have much relevance now. This week plays differently depending on corporate results.

[carboy]

Originally Posted by deetee

RBI refrained from hiking rates

https://www.bloombergquint.com/busin...y-raised-rates

RBI has effectively increased the reverse repo rate. The new floor is now 3.75% as compared to 3.35%. And if the effective reverse repo increases, it means repo rate will also increase soon. The market already knows this.

[deetee]

Originally Posted by carboy

https://www.bloombergquint.com/busin...y-raised-rates

RBI has effectively increased the reverse repo rate. The new floor is now 3.75% as compared to 3.35%. And if the effective reverse repo increases, it means repo rate will also increase soon. The market already knows this.

That was true. On Friday the initial market response was inline with this with momentary drop in bank stocks. But after that intial panic, it seems market sentiment ignored reverse repo rate for short term and there was surge . Primarily because, banks need not raise interest rate on FDs while they can raise rates on loans with discretion. In theory, that means more income for banks , until next meeting. That seems to have boosted some sentiment.

[carboy]

Originally Posted by deetee

Primarily because, banks need not raise interest rate on FDs while they can raise rates on loans with discretion. In theory, that means more income for banks , until next meeting. That seems to have boosted some sentiment.

But if they lend at higher rates, it means less income for companies who take loans from banks. And of course, the effective repo increasing is a signal that repo will also increase quite soon.

[mindhunter]

Last year I got an offer from SBI for free 1st year SBI securities account. I opened the account even without needing it at that time. Now I want to actively start investing in stock market and looking at the interface and brokerage charges from my little research I found out Zerodha kite to be better. Should I close my SBI securities account and open a new one at Zerodha or should I continue with SBI securities account. Any other better suggestion would be welcome.
PS: I have savings and salary account with SBI and a savings account with ICICI bank as well.

[deetee]

Originally Posted by carboy

But if they lend at higher rates, it means less income for companies who take loans from banks. And of course, the effective repo increasing is a signal that repo will also increase quite soon.

How high the lending rates should be, as I mentioned earlier, is upto a bank's discretion. The competition among the banks is one of the factors that limit it. The reverse repo increased slightly but it is still below what banks charge on their loans and lower than current repo rate. That 0.25% increase in reverse repo maynot increase rates on bank loans in near term. Also, since the repo rate is unchanged, FD rates remain same and people will still find it attractive to invest in financial markets , again for the near term. In the present volatile conditions, I think market investors mind may not be thinking beyond a two month period with respect to money flow.

[Sran]

Originally Posted by mindhunter

research I found out Zerodha kite to be better. Should I close my SBI securities account and open a new one at Zerodha or should I continue with SBI securities account.

In my opinion anyone who is serious should have a account with full service broker instead of discount brokers. Choose the price plan that suits you, it depends on trade volume. You can open zerodha account in your family memebers name and compare.

[deetee]

Originally Posted by Sran

In my opinion anyone who is serious should have a account with full service broker instead of discount brokers. Choose the price plan that suits you, it depends on trade volume. You can open zerodha account in your family memebers name and compare.

I might have got the meaning behind the phrase 'who is serious' wrong, but if I am right, someone who is looking at financial markets as a fulltime career should not go by investment guidance from a broker. They should do their due research and act upon their principles . If that is what 'seriousness' is about then discount brokers are fine. On other hand, if someone is investing into financial markets but doesn't have the time and energy to do in-depth research on their own, then services of full service broker may be preferable.