[Capri89]

Please do take note.

https://m.economictimes.com/news/int.../114288116.cms

[Linuskm]

Originally Posted by Capri89

Please do take note.

https://m.economictimes.com/news/int.../114288116.cms

The person is quoting high debt levels, high valuations and elections as reasons for potential market crash


1. As long as US is able to service the debt and there is no alternative for US debt i wouldn't be worried about it

2.S&P 500 PE Ratio was 29.782 as of 2024-10-14, according to GuruFocus. Historically, S&P 500 PE Ratio reached a record high of 131.391 and a record low of 5.31, the median value is 17.915. Typical value range is from 20.37 to 28.43

3. No matter who wins the elections senate and the house will play a crucial role on govt policies etc. so would not expect a major shift from status quo

Besides there is so much cash out there and very few places to park it other than US market.

So I am not that much worried.

[Ananthang]

Dear TBhpians

I have a surplus of 25K, which I can invest next week. I always wanted to buy DMart. Dmart has been falling last few days which makes me think it is good buy, else I can use the money to buy Hyundai post listing. Any suggestions. Thanks

[Ananthang]

Reading news as FIIs are selling and almost Rs.90000 crore have been moved to China or other countries and they are also saying DIIs are purchasing with surplus cash they have now but cannot continue to support from domestic side for long.

Have one fundamental question, for stock market to work, some one should be there to buy if someone has to sell. If FIIs are selling who is buying, if there are no buyers, they can’t sell right. If DIIs stopped buying wouldn’t it be tough for FIIs to sell as retail investors cannot such volume.
Thank you.

[SmartCat]

Originally Posted by Ananthang

Have one fundamental question, for stock market to work, some one should be there to buy if someone has to sell. If FIIs are selling who is buying, if there are no buyers, they can’t sell right. If DIIs stopped buying wouldn’t it be tough for FIIs to sell as retail investors cannot such volume. Thank you.

If FIIs have sold stocks worth Rs. 5,000 cr and DIIs have sold stocks worth Rs. 3,000 cr, then it does indeed mean "others" have bought shares worth Rs. 8,000 cr. The third category might include:

- HNIs or corporates
- Retail investors
- Brokers/market makers/traders (they might have bought stocks, but hedged positions by selling futures or buying put options)

But NSE gives FIIs and DIIs data because they are the major participants. By analyzing FII/DII data over long term, one can apparently get an idea about what the "smart money" is doing.

[digitalnirvana]

Originally Posted by digitalnirvana

Apologies for the off topic post but writing here as the thread is active.

Is the USD going to strengthen more in the near term of 1-2 months? My remittance value from outside India has dropped sharply in the last 1 month due to CHF sliding against the USD/INR.

Any advice? Should I send at a loss now? Or hold, I need to send in the next 30-45 days. Its approx 6.5 rupees loss per CHF currently, and I was at breakeven 3 weeks ago. The downward trend is staggeringly quick.

Bumping this as the USD has strengthened sharply already post election results. And CHF/INR is now down one rupee per CHF overnight and is currently down 3.5 rupees per CHF from peak. Any suggestions or recommendations please? Hold CHF or convert it to INR to avoid further losses? I can hold for up to 4 months if required.

[DigitalOne]

Get set for another huge crash in Adani shares.

Gautam Adani charged by US over alleged $250 million bribe plot: Bloomberg

US prosecutors charged Gautam Adani with helping drive a $250 million bribery scheme, threatening to throw the Indian tycoon’s conglomerate back into turmoil just as it rebounded from a short-seller’s fraud allegations.

Source

[rx100]

Originally Posted by DigitalOne

Get set for another huge crash in Adani shares.

Only if SEBI had opened its eyes

[DigitalOne]

Originally Posted by rx100

Only if SEBI had opened its eyes

This does not come under the purview of SEBI.

To put it into the right perspective here is what the news report says [Emphasis mine]:

Federal prosecutors alleged on Wednesday that Adani, one of the world’s richest people, and other defendants promised to pay more than $250 million in bribes to Indian government officials to win solar energy contracts, and concealed the plan as they sought to raise money from US investors.

Authorities said Mr. Adani and seven other defendants, including his nephew Sagar Adani, agreed to pay about $265 million in bribes to Indian government officials to obtain contracts expected to yield $2 billion of profit over 20 years, and develop India’s largest solar power plant project. - Reuters

In effect, the US prosecutors are not saying, at least as of now, that actual bribery took place. Just that a plan existed and this plan was hidden from US investors. To allege that actual bribery took place, they probably would have to name the Indian Government officials also.

Whatever be the outcome of this court case, this is reputationally pretty damning. Adani group of companies will find it very hard to find new investors for their bonds or equity. Already they have pulled out of their 600 million USD bond issue.

[dragonfire]

I am not able to make up my mind - whether Adani did not learn anything from the previous fiasco involving Hindenberg, or they did actually learn that they can get away with anything.

Either way I am not buying.

[akhil_007]

Originally Posted by DigitalOne

Just that a plan existed and this plan was hidden from US investors.

I think I misunderstood this statement. Can you please help me understand.

Would they have avoided prosecution if the plan had been communicated to U.S. investors?

Or is it considered a crime to plan something without actually carrying out the offense?

[DigitalOne]

Originally Posted by akhil_007

Would they have avoided prosecution if the plan had been communicated to U.S. investors?

No. Bribing government officials (of any country), using money that a company raised from US investors, is a crime under US law. This is what Adani,and others have been accused of. It doesn't matter whether they communicated it before or not. It is a crime. I probably phrased it badly. The one thing that is not clear to me yet is whether money actually changed hands or whether it was just an agreement. Either way, this is much more serious trouble than the short-seller Hindenburg's allegations, as this is by a government agency in a US court of law. This will follow a full court process; documented evidence will be provided by FBI, SEC etc, and a judgement will be given in due course of time.

[SmartCat]

Originally Posted by DigitalOne

This will follow a full court process; documented evidence will be provided by FBI, SEC etc, and a judgement will be given in due course of time.

Something like this might happen too:

[PGA]

Originally Posted by SmartCat

Something like this might happen too:

Likely hood of general FIIs outflow increasing with this episode since two Canadian pension funds are heavily invested in the mentioned company, your opinion please.

[Abbas]

Originally Posted by SmartCat

Something like this might happen too:

Attachment 2685809

This is the most likely outcome. The Adani group is too big to fail now.