5 Minutes Read

I would not buy Facebook: Jim Rogers

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

Jim Rogers, CEO and chairman of Rogers Holdings, said he would not buy Facebook as a stock because it would be too expensive.

Jim Rogers, CEO and chairman of Rogers Holdings, said he would not buy Facebook as a stock because it would be too expensive.



“No, that kind of stock I don`t buy. They are usually very, very expensive. A lot of people like to buy expensive stocks like that, but I do not,” said Rogers, a widely followed investor who has published several books on investing, co-founded the Quantum Fund with George Soros, and more recently is the creator of the Rogers Global Resources Equity Index.


Reports suggest Facebook could file its papers for an initial public offering on Wednesday, one that could be the largest Internet offering ever, with the social media giant hoping to raise upwards of USD 10 billion. Such an IPO would value the company at more than USD 100 billion.


Rogers told CNBC that the timing of an IPO this week would be a smart move by Facebook.


“It`s been demonstrated many, many times before that sellers are usually smarter than the buyers, and they usually know when the best time to sell is, and Facebook is doing it,” he said.


However, he said he would be interested in broader technology stocks, but is currently short the sector.


“I am interested in technology in some shape or form, but I can`t imagine buying any of them. They are a bit hot these days and they have been for two or three months, so that`s why I am short. I don`t buy high-priced stocks,” Rogers said.



US Public `Saps`


Turning to the broader US economy, Rogers said the United States looks and feels better because the government is throwing money at it.



“There is an election in November 2012. Every time there is an election, the government pumps as much money as it can so it can to win the election. Of course things are going to look and feel better because Bernanke is printing money and Obama is spending money,” Rogers said.


He added that the US public are essentially “saps,” being fooled by a government eager to harness as many votes as possible in an election year.


“They want to fool all of us saps and get us through the elections, and then they`ll say we`ll worry about those saps next year,” he said.


Copyright 2011 cnbc.com

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

Why Starbucks succeeds in China

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

About 14 years ago, I met an entrepreneur who wanted to open up coffee shops around China. I never thought the coffee business would work in the country. The Chinese would not easily give up their tea drinking culture for a bitter, overpriced drink, I told him.

About 14 years ago, I met an entrepreneur who wanted to open up coffee shops around China. I never thought the coffee business would work in the country. The Chinese would not easily give up their tea drinking culture for a bitter, overpriced drink, I told him.


Starbucks has proven me wrong. Howard Schultz, the CEO of Starbucks, announced that China will soon become its largest market outside the United States. It has opened over 500 outlets in the country, which are more profitable per outlet than in the US according to the chain`s Chief Financial Officer Troy Alstead.


What did Starbucks do to succeed in a market where so many other western food and beverage brands like Dunkin Donuts, Krispy Kreme and Burger King have failed to live up to expectations? What Starbucks did right in China is a great case study how food brands can succeed despite rising labor and real estate costs and increased competition on the mainland.


Instead of trying to force onto the market the same products that worked in the US like regular coffee, Starbucks developed flavors, such as green tea flavored coffee drinks, that appeal to local tastes. Rather than pushing take-out orders, which account for the majority of American sales, Starbucks adapted to local consumer wants and promoted dine-in service.


By offering comfortable environments in a market where few restaurants had air conditioning in the late 1990s, Starbucks become a defacto meeting place for executives as well as gatherings of friends. In other words, Starbucks adapted its business model specifically for the Chinese, rather than obstinately trying to transplant everything that worked in America into China, as so many brands like Best Buy and Home Depot have done.

The challenge with pushing dine-in service in large comfortable outlets rather than take out is that revenue per square meter is less than in the US The average revenue per outlet in China is one-third to two-thirds that in the US, according to the CFO Alstead.


To counteract this, Starbucks positioned itself as an aspiration buy. The average coffee sold in China is more expensive than in the US Carrying a cup is now seen as a status symbol, a way to demonstrate sophistication, a little personal luxury for middle class Chinese.


Starbuck`s high pricing strategy of specialty drinks allows it to have its Chinese outlets to be more profitable per store in China despite the lower volume. Overall in Asia, its operating margins were 34.6% in 2011 versus 21.8% in the US Too many brands push for market share by cutting prices but in reality they should be aiming for margins.


Not only does Starbuck`s premium pricing strategy fit market demands but it also allows it to regularly roll out higher margin specialty products like gift sets that offset rising commodity costs. As China`s urbanization rate nears 52%, companies need to put into place strategies to handle rising commodity costs.


Starbucks has also done an amazing job at recruiting, retaining, and training employees. 30% annual turnover is common in China according to data compiled by my firm. Yet, Starbucks has far lower turnover than the industry average by good compensation packages, work environments, and career paths. One barista who has been working at Starbucks for five years told me, “I feel taken care of by management. I enjoy my job and I enjoy working here so I expect to stay longer.” That is a rare comment in a country where job hopping is the norm among younger workers.


Starbucks` service is on par if not higher than many 5-star hotels. In consumer interviews with several hundred consumers in Shanghai, the majority told my firm they actually preferred the taste of products from competitors but continued to go to Starbucks because of the service.


Far too many multinational companies treat their Chinese employees as second-class citizens with little career development. Their senior management ranks are full of foreigners, Taiwanese or Hong Kongers without any mainland Chinese representation.


Starbucks understood that the value proposition it was offering Chinese was different than in the US They were able to adapt their business model to fit China while keeping their core values.


Truly great global brands adapt to different markets as Starbucks has done.


Shaun Rein is the founder and managing director of the China Market Research Group (www.cmrconsulting.com.cn) a strategic market intelligence firm, and is based in Shanghai.


He is the author of the upcoming book “The End of Cheap China: Economic and Cultural Trends that will Disrupt the World” published by John Wiley and Sons in the U.S. He does not own shares in any company mentioned. Follow him on Twitter at @shaunrein.



Copyright 2011 cnbc.com

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

Aussie dollar to fall to 80-90 cents by year-end: Analyst

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

Despite facing a series global headwinds and soft numbers out of Australia in recent weeks, the Aussie dollar has remained resilient – rising 3.5% since the start of the year.

Despite facing a series global headwinds and soft numbers out of Australia in recent weeks, the Aussie dollar has remained resilient – rising 3.5% since the start of the year. But one analyst is calling for the commodity currency to drop as low as 80 to 90 cents against the US dollar by the end of 2012 on increasing downside risks.



“If you look over the last six months, commodity prices have collapsed, we`ve seen the reserve bank cut interest rates twice with the market predicting another 100 basis points of easing still to come,” Andrew Pease, Investment Strategist (Asia Ex Japan) at Russell Investment Group told CNBC on Monday.


“[The Aussie dollar] can`t go up much more, it`s got more downside potential.”


The first of this year`s rate cuts could come as early as February 7, when the Reserve Bank of Australia (RBA) meets next.


Russell Jones, Global Head of Fixed Income Strategy at Westpac Bank backs the call for an Aussie dollar correction, but doesn`t see the currency heading lower than parity in the next three to six months.


“I think the Aussie`s getting up towards the top of the range quite frankly, it looks a little bit overvalued,” Jones said.


“We got a couple of rate cuts… if anything the risk is more of those, rather than less. That`s going to take some of the upward momentum away from the Aussie dollar of course.”


But Russell Investment`s Pease is convinced that the strong Aussie dollar is already hurting the economy, pointing to exporters like Toyota, which recently announced cutbacks at its suburban Melbourne manufacturing plant because of the continued strength of the local currency.


“There`s a lot of pain in the non-mining economy out there right now, and the longer the Aussie stays up around a 1.05 cents, the deeper that pain is going to be,” Pease said. “1.05 cents for them [exporters] is very painful, 95 cents is barely painful and 85 cents is where their comfort zone would be.”



Emma Lawson, Senior Currency Strategist at National Australia Bank, also sees downside for the Aussie, but she says Pease`s call for a drop to 80 cents is an “extreme risk.”


“We would think something more akin to 96 is more to where the risks lie, but 80 is near those longer term levels. I think you need to see much much weaker outlook for China to get those levels.”


Copyright 2011 cnbc.com

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

Oil prices may rise on optimism over Greece debt deal

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

Benchmark crude oil prices will likely rise this week as risk appetite improves on optimism that Greece and private sector creditors are nearing a deal on a debt swap, CNBC`s weekly survey showed.

Benchmark crude oil prices will likely rise this week as risk appetite improves on optimism that Greece and private sector creditors are nearing a deal on a debt swap, CNBC`s weekly survey showed.


Exactly half, or fifty percent of this week`s sample group, or five out of ten respondents, expect oil prices to climb this week while one forecast a pullback. But the bulls have a narrow majority with the remaining four respondents expecting prices to remain stuck in a range.


The Federal Reserve`s pledge to keep interest rates at a record low of zero to 0.25% until late 2014 boosted risk appetite across the commodities market, and helped drive a USD 1.10 a barrel gain in US. crude futures this week.


March delivery crude futures settled at USD 99.56 a barrel on the New York Mercantile Exchange. Brent crude oil for March settlement gained USD 1.60, or 1.5%, last week to USD 111.46 a barrel on the ICE Futures Europe exchange in London.



An escalation in the rhetoric from Iran as Western sanctions against the OPEC producer supported prices this week as Tehran repeated threats to close the strategically and economically-vital Strait of Hormuz, a transit route for a fifth of the world`s sea-borne crude oil.


Tom Weber, Managing Director at PFGBest has a “neutral to bearish” view on oil this week and maintains his strategy of shorting any rally to the upside. “While the US data seems to be improving, the Fed has signaled that all is not well. Whereas, commodities would rally just on the mention of a QE event `in the old days`, the market is now saying `Show me the Money!`”


However, Shelley Goldberg, Director, Global Resources and Commodities Strategy, at Roubini Global Economics warned “a shock to oil supply would have devastating ramifications for the global economy, resulting in deep recession if not, depression. A pick up in riskier assets is a positive for oil, while holding a short position in crude has become a high risk proposition.”


From a global political perspective, Goldberg said 2012 would mark an unraveling of ties between nations and deteriorating global alliances. “Uncertainty is also growing in a year when the US, China and Russia all face elections, similar to a low scoring sports event, when tensions build in anticipation of a final outcome,” she said.


Copyright 2011 cnbc.com

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

Greece, private creditors ‘very close’ to deal: EU’s Rehn

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

A deal with private investors to swap Greece’s debt to a more manageable burden is close to being concluded and the next three days are crucial, Olli Rehn, the European Union’s monetary affairs commissioner, said during a debate hosted by CNBC in Davos.

A deal with private investors to swap Greece’s debt to a more manageable burden is close to being concluded and the next three days are crucial, Olli Rehn, the European Union’s monetary affairs commissioner, said during a debate hosted by CNBC in Davos.


Greece and private creditors such as banks and other financial institutions have been mired in discussions over how to swap shorter-dated bonds for new, longer-maturity ones, and analysts say the two sides striking an agreement is crucial to avoid a messy default.


Rehn said he has faith in the euro zone’s future and could see how it would shape up in the next three years.


“The next three days will be very crucial for that future … three years,” he said.


“In other words, we are just about to close a deal on the private sector involvement between the Greek government and the private creditor community, if not today maybe over the weekend, but in any case preferably still in January rather than in February,” he told participants in the debate.


“We are very close and we have to have a sustainable solution for Greece even if

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

Jobs are biggest issue of next decade: Vikram Pandit

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

Employment is the most important issue facing the world over the next decade, Vikram Pandit, chief executive of Citigroup, along with the other co-chairs of the World Economic Forum, told journalists in Davos Wednesday.

Employment is the most important issue facing the world over the next decade, Vikram Pandit, chief executive of Citigroup, along with the other co-chairs of the World Economic Forum, told journalists in Davos Wednesday.



The world needs 600 million new jobs in the next decade to cope with a rising population and the effects of the financial crisis, according to figures released earlier this week by the International Labor Organization.


“That`s going to need a lot of effort and focus and a lot of growth,” Pandit said. “Nothing unleashes growth more than dealing with uncertainty.”


This year`s summit, set in the middle of a continent where a debt crisis is still raging, promises to be gloomy.



German Chancellor Angela Merkel, who has led the euro zone`s attempts to fight back and resolve the crisis alongside French President Nicolas Sarkozy, will officially open the summit later Wednesday.


The other co-chairs are: Yasuchika Hasegawa, president and chief executive officer, Takeda Pharmaceutical, Japan; Paul Polman, chief executive officer, Unilever; Alejandro Ram

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

Europe needs ‘massive monetary easing’: Nouriel Roubini

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

Europe needs “massive monetary easing” to get out of its debt crisis, otherwise Greece will likely abandon the euro in a year and a half, famous economist Nouriel Roubini told CNBC on Wednesday.

Europe needs “massive monetary easing” to get out of its debt crisis, otherwise Greece will likely abandon the euro in a year and a half, famous economist Nouriel Roubini told CNBC on Wednesday.



Private creditors who lent Greece money, such as banks and investment funds, are meeting in Paris after talks on a debt swap that would change shorter maturity Greek bonds for longer maturity ones to give the country more chances to reduce its debt were inconclusive last week and earlier this week.


“Greece is going to be the first country to restructure its debt, I don`t think it`s going to be the last one,” Roubini told CNBC in an interview at the World Economic Forum in Davos.


Without swift measures, Greece may be the first country to leave the euro zone, the economist, who has the reputation of correctly predicting the financial crisis that hit in 2007, said.


The European Central Bank needs to act swiftly with “massive monetary easing” to prevent the crisis from deepening and austerity measures must be reined in, according to Roubini, in whose opinion the euro needs to be 20% or even 30% weaker to help the euro zone economies.



“There`s a severe recession in the periphery of the euro zone,” he said. “Less austerity, more growth, that`s what the euro zone needs today.”


`No Real Decoupling`


The issue of whether or not to raise taxes in the US will be an important one in the presidential election campaign as the American economy is threatened by slowing world growth and recession in parts, Roubini also said.


“There is no real decoupling… there is a recession right now in the periphery euro zone,” he said.


“There`s a recession throughout Europe, US growth is very anemic. There is a slowdown right now in China,” Roubini added.


Data released by the UK government showed the economy contracting by a worse-than-expected 0.2% in the fourth quarter, bringing the country closer to a double-dip recession.



On Tuesday, the International Monetary Fund (IMF) slashed its estimates for world economic growth and warned that the euro zone debt crisis was going through a “new, perilous phase.”


There are too many problems in the euro zone such as the large public debt and the current accounts of some countries, Roubini pointed out.


“These will not be solved by the ECB printing money,” he said.


“These are fundamental problems that are going to take years to solve… and now the contagion has spread.”



Copyright 2011 cnbc.com

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

Equity markets on life support, stay hedged: Expert

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

Loose monetary policy in both the US and Europe has kept global equity markets on “life support,” says Bill Browder, CEO of London-based hedge fund Hermitage Capital.

Loose monetary policy in both the US and Europe has kept global equity markets on “life support,” says Bill Browder, CEO of London-based hedge fund Hermitage Capital. He believes current policies are unsustainable and investors should avoid long equity positions and remain fully hedged.



“I don`t trust where this world is going. I don`t want to be long equities in this world…(this time last year) We put on a fully hedged portfolio, which meant that every long position we had was matched by a short position…it saved me 20-30%,” Browder told CNBC on the sidelines of the World Economic Forum in Davos.


The European Central Bank`s recent move to pump half a trillion euros into the banking sector and the Federal Reserve`s decision to keep interest rates near zero through 2014, indicate that central bankers believe there is an “emergency” on, he said.


“Everybody has kept interest rates at zero percent when they should probably be at five or six percent. The world`s on life support right now,” he said.


Browder says the improvement in recent economic data out of the United States is a result of the Federal Reserve`s policies and not a reflection of improving economic fundamentals.



“When they unplug that life support, do you want to own something that has an artificial value? I say to myself I`m very happy to be entirely hedged,” Browder said.


While recent measures from central banks are helping prop up developed economies, Browder says there could come a time where the “the life support machine” will cause more problems than fixing it.


“It is no mystery that when you print money it causes inflation and it`s also no mystery that the inflation statistics we see right now are different to the ones we actually experience as consumers.”



Copyright 2011 cnbc.com

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

StanChart ups Asia lending as Europe peers back off

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

The debt crisis in Europe and new capital requirements has forced many European banks to trim lending to Asia. But, UK-based Standard Chartered`s Group CEO, Peter Sands, says it will use this deleveraging as an opportunity to expand its market share in Asia.

The debt crisis in Europe and new capital requirements has forced many European banks to trim lending to Asia. But, UK-based Standard Chartered`s Group CEO, Peter Sands, says it will use this deleveraging as an opportunity to expand its market share in Asia.



“Many European lenders are deleveraging and so they are pulling back lending capacity from Asia…we feel there`s a lot of opportunity to grow our business,” Sands said in an interview on CNBC`s Managing Asia.


Sands says the bank, which derives two-thirds of its profits from Asia, ramped up lending by 75 % in the four years following the global financial crisis when other banks were reluctant to lend. He sees the current environment as a chance to further grow that market share.


While 2012 is set to be a turbulent year for financial institutions, Sands says Standard Chartered is well positioned to weather the volatility and is poised for further growth. “We`re focused on the markets of the world that have strongest economic growth. We have the strength, balance sheet (and) franchise that gives us the momentum for continued growth.”


Sands says the bank, which has made a push into China`s consumer and wholesale banking sector, will continue to look to the mainland for growth despite the slowdown in the world`s second-largest economy.


“You can`t have a country growing at the rate China has been growing without some bumps along the way…that is not deflecting us from our longer term strategy,” he said, adding that the bank hopes to expand its retail banking operations from the current 80 branches.


In the first-half of 2011, Standard Chartered`s (Hong Kong Stock Exchange: 2888.hk) net profit rose 20% from a year earlier to a record high, on the back of robust revenue growth and stricter cost controls. Full year profits are also expected to be robust, said Sands.


The depreciation of Asian currencies against the US dollar in 2011 has impacted earnings slightly, he said, but noted that it would not harm the bank`s performance.



Copyright 2011 cnbc.com


Also Read


‘Room for Optimism’ on Economy: Morgan Stanley CEO


Roubini: Europe Needs ‘Massive Monetary Easing’


Complete Coverage of Davos 2012

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?

 5 Minutes Read

Private equity cos hope to get cheap deals in India in ’12

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

 Listen to the Article (6 Minutes)

Summary

Private equity firms looking to invest in Indian companies can hope to strike better bargains in 2012, as valuations are at a low owing to a weak stock market and the struggling rupee gives investors more for their dollar, say industry experts.

Private equity firms looking to invest in Indian companies can hope to strike better bargains in 2012, as valuations are at a low owing to a weak stock market and the struggling rupee gives investors more for their dollar, say industry experts.



India`s benchmark index, the Sensex fell 25% in 2011 and the rupee fell close to 19% against the dollar. While this led to huge losses for many investors, going ahead it could provide an opportunity for those still looking for a slice of India`s growth.

Arun Natarajan, CEO of Venture Intelligence, a research firm that tracks private equity (PE) and MandA activity in India, told CNBC that one of the stumbling blocks for PE investments in India has been high expectations of promoters and entrepreneurs.


“Now, after a sustained decline in public markets we hear promoters are becoming more realistic with their valuation expectations and hence it is probably a good time for PE investors to strike good bargains,” he said.


Private equity investors struck 441 deals in India in 2011 at a value of USD 10 billion dollars, up 24% over the previous year, according to data from Venture Intelligence. The deals were struck across industries, excluding real estate.


According to industry experts deal volumes should go up 20% in 2012.


Vikram Utamsingh, Partner and Head Private Equity Advisory, KPMG India, says, “Valuations are somewhat muted and with continuing stock market volatility they should continue to be muted. Also if the rupee devaluation holds up then in dollar terms deals will be much cheaper than before.”


He adds that valuations of Indian companies have been falling since October 2010 and the drop could touch 20% this year.



Another reason why more investments could flow into Indian companies this year is due to the huge amount of “dry powder” or unused funds lying with PE firms. There is an estimated USD 5-20 billion of funds committed to India but not yet put to use. “There were too many funds chasing too few deals,” Utamsingh said.


Besides a lack of good buys, a weak IPO market also held PE investors back. PE investors typically look for an exit, often via an IPO, within 3 to five years of investing in a company.


But the IPO market in India has been subdued over the last one year, and was one of the deterrents to investing in Indian companies.


According to data from Venture Intelligence PE firms were able to find exit routes for their investments in only 74 companies in 2011 – including only four via IPOs – compared with 174 exits in 2010.


Private equity firms also look for MandAs and public market sales to cash in on their investments.


Utamsingh feels “India has not yet returned capital to investors. They are still waiting for it.”


But Natarajan says that a lack of exits during 2011, especially when compared to an all-time high in 2010, is not an immediate deterrent to deploying capital. “Plus, investors also appreciate that India is among the very few economies worldwide that will show positive growth for the next several years.”


Copyright 2011 cnbc.com


Also Read


‘Room for Optimism’ on Economy: Morgan Stanley CEO


Roubini: Europe Needs ‘Massive Monetary Easing’


Complete Coverage of Davos 2012

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

 Daily Newsletter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Previous Article

Oil Fluctuates as Traders Assess China’s Vow, Unrest in Libya

Next Article

Shanghai residents turn to NFTs to record COVID lockdown, combat censorship

LIVE TV

today's market

index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -72.15
sensex ₹1,882.60 +28.30
nifty IT ₹2,206.80 +30.85
nifty bank ₹1,318.95 -14.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95
index Price Change
nifty 50 ₹16,986.00 -7.15
sensex ₹1,882.60 +8.30
nifty IT ₹2,206.80 +3.85
nifty bank ₹1,318.95 -1.95

Currency

Company Price Chng %Chng
Dollar-Rupee 73.3500 0.0000 0.00
Euro-Rupee 89.0980 0.0100 0.01
Pound-Rupee 103.6360 -0.0750 -0.07
Rupee-100 Yen 0.6734 -0.0003 -0.05
Quiz
Powered by
Are you a Crypto Head? It’s time to prove it!
10 Questions · 5 Minutes
Start Quiz Now
Win WRX (WazirX token) worth Rs. 1500.
Question 1 of 5

What coins do you think will be valuable over next 3 years?

Answer Anonymously

Should Elon Musk be able to buy Twitter?