Flash news for CA students( Nov 2015 onwords )

its time to remove " CA " as prefix for CA students

Sensex up by 321 points yesterday because of rate cut in june. and expectations of rate hike by Fed in this year. only FII bought 2248 crores because of rate hike expectations in US ...................

Leading central banks

Sebi charges Murugappa chief, 3 more with insider trading

1. Sebi has charged Murugappa group chairman A Vellayan with insider trading in Sabero Organic Gujarat shares and ordered him to return Rs 2.15 crore made on the transaction
2. Three more individuals-- Gopalkrishanan C, V Karuppiah and M Subramaniam-too have been charged for the same violation.
3. Sebi's investigation analysed the trading pattern, KYC documents and bank account statement of the suspected entities which revealed that Gopalkrishanan had traded in the stock.
   

Relation between rate hike and stcoks falling is that :-

if rates are increased , there will be tightening in liquidity to companies.so investor will think that they might face some difficulty in getting working capital. so investors will book the profits and came out from the market.

Now in current case Fed told that they will hike rate in june, stocks fallen drastically. and again they told two days later that rate hike will take place later the year........so stocks went uppp..... 

Fed likely to raise interest rates later this year

• US Federal reseve is likely to stick with plans to raise interest rates later this year,with progress towards its employment and inflation goals helping allay concerns over the economy's recent weakness.
• central bank kept rates near zero since 2008 and bought $3.5trillion dollrs in bonds to pull economy from recession that had sent joblessness as high as 10%. 
• Unemployment is now cut almost half and runs near estimates of full employment and monthly job groeth so far this year has averaged 194000.