15th May 2011
Thought for the Week:
“Where words and thoughts go and come back repulsed, that is My Abode”- Bhagvan Shri Krishna in Bhagvad Gita
Markets beginning to find their balance
In an event packed week, the Indian stock market yo-yoed like a drunkard but closed on a cheerful note. The trend was set by some good data and the results of the mid-term polls. Globally the trend was shaky with commodities selling off and the Greek debt crisis again putting European sovereign debt on the front burner. In India the Index of Industrial Production (IIP) came in at an unexpectedly impressive 7.6%, double the analysts’ consensus. To add to the “feel good factor” domestically, we had a good inflation number with food inflation touching a 18 month low; though it is still at an elevated level. Then of course the mid term results came and with the rout of the communists in Bengal and the corrupt Karunanidhi clan in Tamil Nadu. This also went extremely well with the market.
Communists thrown out of Writers Building after 40 years
In a massive victory Mamta Banerjee- the charismatic leader of Bengal- routed the Communists in the mid-term assembly polls. With this their domination of Bengal politics comes to an end. I am one of the happiest persons in India because of this. The curse called communism has been practically wiped out of the world but in India it still ruled a few pockets. Once Bengal was the business and intellectual capital of India. Almost all Multinationals flourished there. The great Indian business families blossomed there. Art, culture and literature thrived in the open society. The Freedom movement was born there. Vande Mataram. Jana Gana Mana are products of Bengal just like Swami Vivekananda and Sri Aurobindo. The faithless, value-less Communists decimated everything and with their fascist and goonda- raj chased every one away. Their negative influence on Mrs. Gandhi in the late-60s and early 70-s was responsible for all the “socialist” regulations like MRTP, Fera, Land Ceiling Act. I am sure the rebirth of free thought and free market economics will usher in unprecedented development in that State and have ramifications all over India.
Competition Commission reins in NSE over predatory pricing
In its first major move after acquiring teeth, the monopoly busting Competition Commission has issued a notice to the National Stock Exchange asking why it cant be penalised heavily for its predatory pricing in the currency and commodity markets. This was based on a complaint by the MCX which argued successfully that the NSE used its clout to offer free services ( at a loss) to kill competition. I am delighted at this and hope that this is the first of many such judgements in a country where most people have not learnt to live with competition.
Knowing Our Great Tradition
Some persons have asked me about the significance of Akshaya Thritiya which we celebrated recently. It is one of the most auspicious days of the Hindu calendar from Vedic times. Literally Akshaya means “undiminishable” and Thritiya is the third day of the lunar fortnight. Akshaya Thritiya falls on the third day of the waxing moon in the lunar month of Vaisakha. On this day the Threta Yuga started and Veda Vyas started his dictation of Mahabharata to Lord Ganesha. On this day Sudama went to Lord Krishna in Dwaraka with a handful of rice and came back a millionaire. People worship Lord Vishnu. It is good to do something auspicious on this day. In modern times people buy gold though this seems to be a practice of recent origin.
One more important file related to Adarsh building scam in Mumbai has gone missing and the case against the politicians and army officers is getting weaker and weaker.
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