Since it is time to make predictions without giving any background, I thought I will provide mine ...
Market upside is ahead.
We are over-sold and this will not continue for too long.
There still might be shocks, but RBI meet will fix it.
We might have an "early" RBI announcement also.
However, let's provide justification also.
I have seen big banks creating this kind of pressure in US during late 2008, where McCain (and Obama) rushed back from campaign for essentially a photo op and W (Bush 2) and gang initiated TARP operations. While TARP etc., were needed, the pressure was created to give a sense of falling sky and over-ride any opposition.
Now people are worried about inflation, and RBI is going to increase rates to fix this. The people who do not want higher rates are creating this drama to show we are under heavy distress and rate increase will make it worse. As soon as RBI gives in (or announces), things will be back on track. Number 1, uncertainty will be out. Number 2, they will probably shave off a few basis points from what RBI wanted to do.
Not knowing the real background, this is my best guess on what's going on.
Question - Is managed panic ... legal?
Market upside is ahead.
We are over-sold and this will not continue for too long.
There still might be shocks, but RBI meet will fix it.
We might have an "early" RBI announcement also.
However, let's provide justification also.
I have seen big banks creating this kind of pressure in US during late 2008, where McCain (and Obama) rushed back from campaign for essentially a photo op and W (Bush 2) and gang initiated TARP operations. While TARP etc., were needed, the pressure was created to give a sense of falling sky and over-ride any opposition.
Now people are worried about inflation, and RBI is going to increase rates to fix this. The people who do not want higher rates are creating this drama to show we are under heavy distress and rate increase will make it worse. As soon as RBI gives in (or announces), things will be back on track. Number 1, uncertainty will be out. Number 2, they will probably shave off a few basis points from what RBI wanted to do.
Not knowing the real background, this is my best guess on what's going on.
Question - Is managed panic ... legal?