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On Slack: 2,000-Mile Odyssey, Trouble with Foodpanda, Yuan Devaluation, Yellen Rates and more…

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The Slack Discussions

The Slack group at Capital Mind Premium has been extremely active and if you haven’t been there, pop us a note by replying to this email. (If you’re a trial member this probably sound like Greek to you; it will be available when you sign up!)

A brief summary of some of the interesting things discussed there in the last few days:

#macronomics: Saudi sees no need for oil summit, best leave market alone

Top oil exporter Saudi Arabia sees no need to hold a summit of producing countries’ heads of state if such discussions would fail to produce concrete action toward defending oil prices, sources familiar with the matter said on Thursday.

http://www.reuters.com/article/2015/09/10/us-opec-oil-idUSKCN0RA26620150910

http://www.bloombergview.com/articles/2015-09-11/saudis-are-winning-the-war-on-shale

#stocks: A Negative Stock Report About Indiabulls Led to an Analyst’s Arrest and a 2,000-Mile Odyssey

When stock analyst Nitin Mangal co-wrote a research report in August 2012 telling investors to sell shares in companies that were part of the Indiabulls Group, a big Indian real-estate and financial conglomerate, he figured the company wouldn’t like it.

http://www.wsj.com/articles/a-negative-stock-report-about-indiabulls-led-to-an-analysts-arrest-and-a-2-000-mile-odyssey-1442291340

#stocks: JP Morgan seeks investors nod to segregate Amtek-linked funds 

American fund house JP Morgan Mutual Fund today said it is seeking approval from unit holders of its two schemes worth Rs 200 crore that are exposed to troubled auto component maker Amtek Auto’s debt papers, with a view to segregate the illiquid asset from other investments. 

The approval would help lift curbs on redemptions from two JP Morgan’s debt schemes – short-term income fund and India treasury fund, the fund house said in a statement. 

http://economictimes.indiatimes.com/markets/stocks/news/jp-morgan-seeks-investors-nod-to-segregate-amtek-linked-funds/articleshow/48961758.cms?from=mdr

#general: Twitter (TWTR), Stock Price Patterns, And Why Square Roots Matter

http://www.seeitmarket.com/twitter-twtr-stock-price-patterns-and-why-square-roots-matter-14765/

#macronomics: Decline rates will ensure oil output falls in 2016: Kemp

Oil companies have to invest heavily simply to offset the impact of natural decline rates on their existing fields, and even more if they want actually to increase production.

The need for continued investment and drilling to maintain output as a result of the rapid decline rates on shale wells has been widely discussed.

http://www.reuters.com/article/2015/09/15/us-oil-production-kemp-idUSKCN0RF2A720150915

#general: The trouble with Foodpanda

Current and former Foodpanda employees reveal multiple flaws in culture and processes at online food-ordering start-up: http://www.livemint.com/Companies/rYKC6HjnShogjE62jO5lpK/The-trouble-with-Foodpanda.html

Some metrics that need to be adhered to:

http://www.foundingfuel.com/article/your-startup-is-dying/ and
http://a16z.com/2015/08/21/16-metrics/

#macronomics: Richard Koo: The ‘struggle between markets and central banks has only just begun

Richard Koo, chief economist at Nomura Research Institute, argues the real cause behind the lift in market instability is not China, but the decision of the Federal Reserve to end its quantitative easing program last year, which prompted businesses and households to shift their focus from maximizing profit to minimizing debt when QE One, Two, and Three were being implemented

http://www.businessinsider.com/richard-koo-struggle-between-markets-and-central-banks-has-only-just-begun-2015-9?IR=T

#general: P Chidambaram, Vasan Eye Care and Rs 223 Crore Black Money

JD Group gave Rs 8.64 cr loan free of interest to Vasan Eye Care group — in cheque. It also gave substantial amount of Rs 40 cr in cash — that is, black money — ‘all on a single day’, ‘as a single transaction’ to one Dr A M Arun, Vasan Eye Care’s original promoter. The cash paid to Arun went to an influential politician in Tamil Nadu who was a Cabinet minister in the UPA regime for 10 years. What is JD Group? Which is Vasan Eye Care? And who is Dr A M Arun?

http://www.newindianexpress.com/states/tamil_nadu/P-Chidambaram-Vasan-Eye-Care-and-Rs-223-Crore-Black-Money/2015/09/17/article3032238.ece

#general: Broking startup Zerodha to launch trading platform Kite in 10 languages

Discount broking start-up Zerodha is set to launch its month-old online trading platform, Kite, in about 10 languages, including Hindi. The language portals should be available for use in about five weeks.

http://tech.economictimes.indiatimes.com/news/startups/zerodha-kite-broking-10-languages/48995735

#macronomics: Why China’s yuan may be set for 15% devaluation

China is mulling a 15-20 percent devaluation of its currency by the end of 2016 in a move that could spark a crisis in Asian markets, according to research firm IDEA global. It cited an interview it had conducted with a “reliably-informed Asian source” in a release published late on Tuesday

http://www.cnbc.com/2015/09/16/why-chinas-yuan-may-be-set-for-15-devaluation.html

#macronomics: Yellen May Emulate Taper Template and Raise Rates in December

Federal Reserve Chair Janet Yellen shows signs of taking a page out of her predecessor’s policy playbook as she inches toward the central bank’s first interest rate increase in nine years: Delay action in September only to move in December. While the Fed on Thursday opted to keep rates pinned near zero for now, Yellen told a press conference that most policy makers still expect to raise rates this year

http://www.bloomberg.com/news/articles/2015-09-17/yellen-may-emulate-taper-template-and-raise-rates-in-december

#stocks: Coal India: Can stock manage small Relief Rally?

http://stateofthemarket.net/2015/09/coal-india-can-stock-manage-small-relief-rally/?utm_source=feedburner&utm_medium=twitter&utm_campaign=Feed%3A+StateOfTheMarket+%28State+of+the+Market%29

Here are some #backtobasics materials

How Fundamentals play out on the charts – http://stateofthemarket.net/2015/09/how-fundamentals-play-out-on-the-charts/

Max Pain – http://www.investopedia.com/terms/m/maxpain.asp

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Disclaimer

Nothing in this newsletter is financial adv
ice and should not be construed as such. Please do not take trading decisions based solely on the matter above; if you do, it is entirely at your own risk without any liability to Capital Mind. This is educational or informational matter only, and is provided as an opinion. 

Disclosure: The authors at Capital Mind have positions in the market and some of them may support or contradict the material given above, or may involve a direction derived from independent analysis.

 

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