The value of the Rupee: update as of November 2020

Also read my April 25, 2014 blog titled "Is the Rupee fairly valued?" and my monthly blogs

India Market Map: December 2020

 

Foreign Exchange

Stocks

Government Bonds

Gold

Call Money

Policy Rates

Bank Deposits

Public Provident Fund

Post Office Deposits

Home Loans

Real Estate

Monitoring the NaMo Bull Market in Stocks: In December, Market cap. to GNP reaches highest level since Narendra Modi's rise to power

 Market capitalization of Indian stocks as percentage of GNP (TMV/GNP) is estimated at the highest level of 95% since Narendra Modi came to power.  Similar levels  were seen in January and August of 2018. Are we in for a correction in the market or are we going to see market entering bubble territory with the ratio crossing 100%? 

See my comments for the November month.  Given the strength of the US market, I would see a further rise to the 100% area for TMV/GNP backed by a further rise in the market. But I believe investors need to start looking at their portfolios and making sure that they have quality names in their portfolios.