#RBI #Nifty50
🚨RBI Hands massive ₹2.69 Lakh Crore to Govt as Dividend for FY 25💚
What this means for you as Investor/Trader?
A thread🧵
📈 1. Big Boost to Govt Spending 🚀
More money in the government’s pocket = More spending on infra, welfare, capex.
➡️ Keep an eye on infra, capital goods, and PSU stocks 💸 2. Liquidity Injection Incoming
This windfall could mean smoother liquidity, lower yields, and easier credit.
➡️ Bond traders, watch for a dip in G-sec yields.

#QuantitativeEasing #macroeconomics
What Does It Mean When Central Banks "Print Money" 💵?

A thread-

When you hear that central banks are 'printing money', it's often about Quantitative Easing (QE)—a strategy used to stimulate the economy when traditional methods, like lowering interest rates, aren't enough! Here's how QE works:

1. Central Bank Buys Bonds: The central bank purchases government bonds from financial institutions.

#MacroFinance #YieldCurve
What is Yield Curve and how it affects Economic Health? A thread-
🧵 1. The Yield Curve: A Sign of a Recession?

Markets take notice when short-term bonds yield higher returns than long-term ones. 👀
An inverted yield curve is a rare flip that has a good record of forecasting recessions.
Let's dissect it- 2🔍 The yield curve: what *is* it?

Interest rates on US government bonds are displayed on the graph, ranging from short-term (3-month) to long-term (30-year).
Longer bonds typically yield higher yields (more risk, more reward).

#inflation #investing
Sunday Learning 💚
How Inflation Affects Your Stock Portfolio?

Rising prices aren’t just about your grocery bill. It impacts your equity portfolio as well.
Lets deep dive into thread -
1. Inflation effectively eats into corporate profits and changes investor behaviour. 2. People adjust their spending habits to minimal. This reflects into corporate balance sheets.

Fixed Supply Assets
Thread -
Definition- Asset that has predetermined maximum supply that cannot be changed
Today we will cover Bitcoin as an example-
BTC supply is capped at 21 million coins.
1. In a world hell bent on printing money, Inflation is the biggest pain for all major economies including USA and China 2. This very property makes Bitcoin a deflationary asset. Fixed supply is encoded in its protocol, no central authority or agency can “increase” or “print” more BTC as per their will

A lot of noise over SM on what will happen if FIIs also start selling. See guys, you need to understand markets from all perspectives- Macro, Micro, Political and Social aspects.
Lets Check largest FII selling in last 5 years and compare it with DII activity- 1/2 2/2
FII Selling
October 2024 114,445.89 CR
January 2023 41,464.73 CR
June 2022 58,112.37 CR
May 2022 54,292.47 CR
March 2020 65,816.70 CR

DII Buying

October 2024 107,254.68
January 2023 33,411.85
June 2022 46,599.23
May 2022 50,835.54
March 2020 55,595.18