NEW DELHI: As famend economist Milton Friedman put it: “the inventory market and economic system are two various things.” Immediately’s actuality is in step with these observations. Be it shares or bitcoins, drunk on liquidity the hyper-bullishness may be aptly defined with ‘the larger idiot’ concept which factors to a behaviour anomaly in making silly selections to purchase items at costly costs, hoping that another greater idiot would purchase these items at a lot increased costs. Learn this and extra on this weekend’s version of ‘Lengthy & Wanting Markets’.

D-Road as wealthy as India!
If you wish to get a proper perspective on how dear the capital markets are, check out the Buffett Indicator. The important thing valuation indicator exhibits that Dalal Road’s whole market capitalization is nearly the identical as the scale of India’s GDP, which is certainly a trigger for concern. Learn extra right here.
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It’s a rebound, not a restoration
Raghuram Rajan opines that India continues to be in a rebounding stage and never restoration, because the economic system is but to succeed in its earlier highs. Substantiating his claims, the previous RBI governor makes use of two-wheelers and four-wheelers gross sales numbers to conclude that the demand from the decrease center class inhabitants is but to select up. Learn his full interview right here.
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Bitcoin eclipses Tulip mania?
Dutch Tulip bubble of 1636-37 was the primary main bubble recorded in historical past, with the best a number of (39.9X) of the underlying asset worth ever. Bitcoin shouldn’t be far behind with 3 increase and bust cycles within the final 10 years, 7x returns prior to now 12 months with a market cap of round $650 billion. Learn right here to know why Bitcoin is not like every other bubble we’ve seen to this point.
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The ‘Huge Bull’ simply went mild
Rakesh Jhunjhunwala trimmed his stake in two Tata siblings. After a 15X increase within the final decade, the ‘Huge Bull’ determined to guide earnings, however solely partially. This is extra on what Jhunjhunwala has been as much as.
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Taming the raging bull
Maverick investor Vijay Kedia, identified for his bets on quite little-known shares, says that the inventory market has handed it’s ‘mud’ and ‘should’ part and has now entered the ‘lust’ part. Throughout these indecisive instances, this D-Road veteran advises traders to enter dawn industries and exit these seeing sundown. Learn right here for Vijay Kedia’s technique to fearlessly journey Mr Market’s dust-must-lust cycle.
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