Straight from the Specialists
(Any opinions expressed here are those of the author and not of Thomson Reuters)
Indian markets were down for a third consecutive week with the Nifty closing 2 percent lower at 5565 on weak economic signals and disappointing corporate results.
The rupee held on at 60.67 to the dollar.
The appointment of Raghuram Rajan as the next governor of the Reserve Bank of India (RBI) brought the market some cheer. Rajan, a former chief economist at the IMF, is seen as a pro-growth policymaker.
International markets ended weak on concerns that the U.S. Federal Reserve could taper down its stimulus programme. Positive data on the Chinese economy was probably the only redeeming feature.
This week, the Companies Bill replacing the Companies Act of 1956 was passed in the Rajya Sabha. This should lead to better corporate governance and investor protection, which our markets need to restore confidence. The trust deficit seems to be at an all-time high with stocks getting butchered at the first whiff of trouble.