The Hindu Business Line : Wednesday, May 24, 2006

FOREX
CAC needs policy underpinning
The experience of the Southern Cone countries in the late 1970s/early 1980s points to the dangers of moving rapidly towards opening the capital account without a supporting policy matrix. More

POLITICS
Stock market turmoil spoils the UPA party
More than the external and extraneous factors, the role of the regulatory agencies assumes importance. More

STOCK MARKETS
Market havoc
A variety of factors is said to have caused the stock market crash of May 22: the unguarded observations of the Finance Minister, Mr P. Chidambaram; the ambiguity in the definition of trader and investor in a ... More

MONDAY MAYHEM
Is there a `foreign angle'?
The Morgan Stanley Emerging Market Index has been declining since May 10, when the US Fed raised the interest rate and signalled further rise. More

Margin is a leverage that cuts both ways
Henry David Thoreau writes, "A broad margin of leisure is as beautiful in a man's life as in a book." Ah, what a luxury, that is, in times as turbulent as recent weeks! Also, margin doesn't seem to have the romantic appeal Thoreau would have us ... More

The froth, storm and the calm
Many macroeconomic variables are somewhat in turmoil, and each sudden change in value adds to the systematic risk. Waking up to these, the market in India has healthily cut prices and pushed down the P/E multiple to about 17. The quickness should ca use no surprise as changes in the perception of systematic risk always have an exponential and non-linear impact on prices, says G. RAMACHANDRAN. More

Fundamentals win over sentiment
During the past 10 days, the stock market has been witnessing a steep fall for which a whole lot of reasons have been attributed. According to some, the internal mechanics of the Indian market, such as the payments system, are more to blame ... More