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LORD JESUS CHRIST SAYS

If we confess our sins, he is faithful and just and will forgive us our sins and purify us from all unrighteousness.

29 Jan 2016

STOCK MARKET- MORNING TREND & RBI GOVERNOR AGAINST GDP FORMULA.

9:45 a.m.: Asian shares jumped on Friday and the yen swooned after the Bank of Japan stunned markets by adopting negative interest rates in its boldest step yet to reinflate the long-languishing economy.

9:42 a.m.: The Bank of Japan on Friday shocked fi
nancial markets by adopting negative interest rates to forestall risks that global market volatility could damage business confidence and revive a deflationary mindset.

In a 5-4 vote, the central bank decided to charge 0.1 per cent interest on current accounts that financial institutions hold at the BOJ.

9:30 a.m.: The Sensex rose over 150 points and Nifty moved above its key level of 7,450 on the back of buying in oil & gas, metal, IT and healthcare stocks.

Meanwhile, the Bank of Japan in a move to add more stimulus to support the economy adopted negative interest rates at the end of its two-day policy meet.

Back home, Vedanta was the top gainer in the Nifty the stock jumped 6 per cent to Rs 71.40. Cairn India, Sun Pharma, Coal India, ONGC, Mahindra & Mahindra, GAIL India and ITC were also among the gainers.

On the other hand, ICICI Bank shares slumped over 5 per cent to hit low of Rs 223.60 after the bank saw its bad loans surge in the December quarter on a central bank order to reclassify some troubled loan accounts, and predicted sour assets will rise further this quarter.

The lender, which is also listed in New York, reported on Thursday its standalone net profit in its fiscal third quarter to December 31 rose 4.5 per cent from a year earlier to Rs 3,018 crore ($443 million), in line with analysts' estimates of Rs 3,017 crore on average.

Maruti Suzuki also fell 3.25 per cent to Rs 3,923 on the back of disappointing third quarter numbers.



9:42 a.m.: The Bank of Japan on Friday shocked financial markets by adopting negative interest rates to forestall risks that global market volatility could damage business confidence and revive a deflationary mindset.
In a 5-4 vote, the central bank decided to charge 0.1 per cent interest on current accounts that financial institutions hold at the BOJ.
9:30 a.m.: The Sensex rose over 150 points and Nifty moved above its key level of 7,450 on the back of buying in oil & gas, metal, IT and healthcare stocks.
Meanwhile, the Bank of Japan in a move to add more stimulus to support the economy adopted negative interest rates at the end of its two-day policy meet.
Back home, Vedanta was the top gainer in the Nifty the stock jumped 6 per cent to Rs 71.40. Cairn India, Sun Pharma, Coal India, ONGC, Mahindra & Mahindra, GAIL India and ITC were also among the gainers.
On the other hand, ICICI Bank shares slumped over 5 per cent to hit low of Rs 223.60 after the bank saw its bad loans surge in the December quarter on a central bank order to reclassify some troubled loan accounts, and predicted sour assets will rise further this quarter.
The lender, which is also listed in New York, reported on Thursday its standalone net profit in its fiscal third quarter to December 31 rose 4.5 per cent from a year earlier to Rs 3,018 crore ($443 million), in line with analysts' estimates of Rs 3,017 crore on average.
Maruti Suzuki also fell 3.25 per cent to Rs 3,923 on the back of disappointing third quarter numbers.

                       DR.RAGHURAM RAJAN QUESTIONS NEW GDP FORMULA.


Reserve Bank Governor Raghuram Rajan on Thursday said the country needs a better methodology to capture growth measured in terms of gross domestic product (GDP). There is a need for better computation of numbers to avoid overlaps and capture the net gains to the economy, he said.

"There are problems with the way we count GDP which is why we need to be careful sometimes just talking about growth," Dr Rajan said.

The new formula to calculate growth, based on market prices, shows India is the fastest-growing major economy in the world. Critics say the headline growth rates appear strong because of change in statistical methods that seek to capture more evidence of economic activity.

Other barometers such as bank credit growth, jobs and consumer demand paint a less healthy picture, analysts say.

Speaking to students at the Indira Gandhi Institute of Development Research, Dr Rajan said, "We have to be a little careful about how we count GDP because sometimes we get growth because of people moving into different areas. It is important that when they move into newer areas, they are doing something which is adding value.

We do lose some, we gain some and what is the net, let us be careful about how we count that."

There are many suggestions from various quarters on the ways to calculate GDP in a better way and we should take those seriously, Dr Rajan noted.

According to the new GDP methodology, the economy is growing at slower pace in nominal terms than in real terms for the first time. In the September quarter, the real GDP clipped at 7.4 per cent, while the nominal GDP grew much lower at 6 per cent.

Dr Rajan also spoke about the need to focus on employment creation and took a middle line to say that policies need to be geared up to face the onslaught of technological innovations.

"We have to make sure that our policies are geared up such that we will create the appropriate playing field to find new jobs. We should not create a distorted playing field where at the end of the day the wrong kinds of jobs emerge," he said.
 

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