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SPEECH
Recent
Developments in Forex, Money and G-Sec Markets: Account and
Outlook
-- Shyamala
Gopinath
©
2005 Reserve Bank of India (www.rbi.org.in). Address by Deputy
Governor at the 16th National Forex Assembly at
Cochin on August 13, 2005.
COVER
STORY
Commodity
Futures
-- Kalyan
Sandilya J
Commodity
futures form a small portion of trading and are very important
for agricultural producers and consumers. Earlier, in India,
trading in commodity futures was banned for several decades.
However, with changing times trading in commodities has assumed
significant proportions. At present, with commodity exchanges
varying in their contract specifications and settlement rules,
futures trading is conducted in over 25 exchanges, with four
major multi-commodity exchanges set to dominate trading in
the future.
©
2005 IUP. All Rights Reserved.
COMMODITIES
Commodity
Derivatives: A Primer
-- VDMV Lakshmi
Using
commodity futures to hedge the commodity price risk helps
in avoiding uncertainty of future cash flows and facilitate
locking in the price. In other words, it helps in minimizing
the price risk, but not completely avoiding the losses. Sometimes
unhedged position may provide better results than the hedged
one.
©
2005 IUP. All Rights Reserved.
COMMODITIES
Commodities
markets: Has the future arrived
-- KL
Narasimha Rao
The
commodities market is predicted to be bullish during the next
ten years. As the oil prices scale new heights and China remains
bullish for natural resources, the commodities market expects
more investment in near future than any other market. The
author evaluates the commodities market, especially the oil,
copper and steel markets and the expected investments into
these commodities.
©
2005 IUP. All Rights Reserved.
COMMODITIES
Commodity
Derivative market
-- Sanjeev
Kumar
Commodity
derivative trading in India has come out of the state of hibernation
in last few years. Global economic recovery, trade liberalization,
and growing awareness about derivatives trading and their
potential to mitigate the underlying risk have brought the
revolution in the commodity market. But the Indian commodity
market is still in developing stage as compared to global
commodity derivative market. This article probes into the
related issues.
©
2005 IUP. All Rights Reserved.
COMMODITIES
Gold
Exchange Traded Funds in India - A Golden Opportunity?
--
C
Vijaya
Indian
retail investors can now trade intraday in gold through Gold
Exchange Traded Funds! One unit of the fund may be as low
as Rs.10. The Budget Proposal to start Gold ETF in India aims
at enabling retail investors to buy or sell gold in smaller
amounts of even Rs. 100. Gold ETF will offer an excellent
investment option for an investor to hedge against inflation
and to diversify his portfolio. The retail investor can now
reduce the burden on his budget by buying small quantities
over a period instead of a bulk purchase just before important
events. The article aims at analyzing the pros and cons of
the Gold ETF in India and its viability as an investment option.
©
2005 IUP. All Rights Reserved.
COMMODITIES
Can
the Gold Market Remain Bullish in the Future Too?
--
G Alivelu
It
was in July, 2005 that the People's Bank of China unpegged
the yuan against the dollar by setting the yuan at 8.11 to
the dollar indicating a 2.1% increase in its value. The decoupling
of the yuan from the dollar in the long run may perhaps lead
to a lesser demand from China for US Treasuries and dollars.
This, in turn, would result in a lesser dollar and higher
gold price. The revaluation might increase the hazard of higher
inflation in the US as a result of these higher costs. Gold
prices may conceivably increase in rejoinder, as they usually
do on the possibility of higher US prices for goods and services.
In this context, this article throws light on the fact whether
the gold market can remain bullish in the future too.
©
2005 IUP. All Rights Reserved.
FOREX
Withholding
Tax in Commercial Foreign Exchange Transactions
-- TR Shastri
As
of today, deduction of tax at source (TDS) in domestic situations
is well understood concept. Where a payment representing income
is made to a nonresident, chances are that it will attract
provisions of Income Tax Act and the provisions of Withholding
Tax. This article examines the provisions as applicable to
commercial transactions in foreign exchange basically involving
remittance out of the country, of sums which are chargeable
under the provisions under the Income Tax Act.
©
2005 IUP. All Rights Reserved.
FOREX
Does
Yuan Revaluation Impact Oil Prices?
--
Dibyendu Dutta
Until
recent past, Chinese authorities refused to revalue yuan,
focusing instead on maintaining economic stability and implementing
banking reforms. This article primarily discusses about the
impact of yuan revaluation and its subsequent impact on the
global oil prices.
©
2005 IUP. All Rights Reserved.
RISK
The
Mystic World of Hedge Funds
--
Arindam
Banerjee
Of
late, the hedge funds have grown out of bounds in the global
markets. The domestic markets have also seen a surge in these
instruments but at times they have led to market failures.
The recent spate of the UBS Securities opens up another episode
where the regulator has made its presence felt by restricting
the entity from trading in the Indian markets for the next
one year. This article deals with related issues.
©
2005 IUP. All Rights Reserved.
Book
Review
Hot
Commodities
-- Jim Rogers
The
stock market is witnessing a bull run. Does this make a new
high? Can it sustain? Those of you who are suspecting and
looking for a new alternativehere is "Commodities Market".
With the crude oil prices reaching a new high everyday, commodities
`Guru' Jim Rogers suggests how to profit from this bull run.
©
2004 Beeland Interests, Inc. IUP holds
the copyright for the review. |
