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Fact-check: Did the US Economy declined more compared to India's?

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A lot of noise is there on social media regarding the US and India’s GDP numbers.  A claim is made over the social media that a few leading news portals have misrepresented India’s GDP numbers compared to that of US. This is the picture which is floating all over LinkedIn and Twitter. And regarding US GDP data: Let’s have a brief look at the calculation methodology: What does it mean when we say that US GDP has contracted 9.5 % in the Q1? Assume US GDP to be 100 (April 2020). Now a 9.5% contraction for Q1 2020 means 100*(1-9.5%) = 90.5 Extrapolating it forward, the change in the upcoming quarters will be: Q2 2020: 90.5 * (1-9.5%) = 81.90 Q3 2020: 81.9 * (1-9.5%) = 74.1 Q4 2020: 81.90*(1-9.5%) = 67.1 So, from 100 to 67.1, a difference of -32.9 and when annualized it is -32.9% (Base was 100). If we do the same calculation for India: Now projecting annualized decline numbers for India just like the US: A whooping annual decline of -75%. If we do a Q/Q computation on US GDP data with India
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New Era of Gold's Global Domination

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Apart from the stark difference between India's and China's real yield, this graph is also foretelling us the story of the time that is about to come.  If you are an FD/G-Sec investor, the policy rate is the metric you should currently have a look at. The current policy rate in India is 4.00% (Repo Rate). State Bank of India's (SBI) one-year fixed deposit is offering 5.10%. The yields mentioned above are Nominal yields and are without incorporating the effect of inflation. The Retail Inflation (CPI) for June was 6.09% (From 5.84% in March). Though it was mainly driven by the spike in food prices as clearly evident from the steep rise in the Consumer Food Price Index (CFPI) (9.62% July (E), 8.72% June) The RBI’s medium-term inflation target range is 2-6%. It is expected to remain near the upper range for some time. The repo rate is also likely to stay in the 3.5-4.5% range. Investing in a Fixed deposit no longer makes any sense in India. If your investment horizon is longer
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WTI Crude Oil - Get paid for Purchasing

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This year 2020 will be remembered in global history for a very long time to come. Some boundless imaginations of our wildest dreams have now become a reality. The WTI Crude Oil future became negative, a situation where the cost of one barrel became more than the oil in it. Source: CNBC The clickbait headline of the day is "Crude Oil future collapsed to a historical low of -$37.63 per barrel". Although, I am no crude oil expert, but many people are under the impression that they will get the oil for free and it is a once in a lifetime moment for India. Let's have a brief look at this Crude Oil sudden demise. To begin with, the -$37.63 per barrel is a futures contract price, not a spot market price. If you are LONG a future, then unlike an option, you have to exercise it necessarily. When a futures contract expires, traders must decide whether to take delivery or roll their positions into an upcoming contract. Most of the speculators either go for a rollover or take a profi
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Hydroxychloroquine - Can it be a game changer?

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The number of people tested Corona positive has just hit the 1 million mark. In India, almost 2000 people have tested positive to date. The entire country is observing a 21 days lockdown and hoping that social distancing along with testing will help to stop Corona completely. The important point to note here is that lockdown and distancing are quite effective at slowing down the virus spread rate and the consequent fatalities but these measures are not a permanent cure for Corona. These measures are just buying us the time to up our health infrastructure so that if there is a surge later, we can handle it without facing any nightmares. Imagine, after a 3-month lockdown one corona vector who was not diagnosed, spreads this infection to others in the community and from there on subsequently to the entire locality (like  #TabilighiJamat  incident), effectively leaving us at the same place where we are currently in. PM Modi announced a 21 days lockdown ending 15th April #Corona  can be p
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My induction at IIM Kashipur

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In the foothills of Himalayas, in the lap of India’s oldest National Park (Jim Corbett National Park) lies the IIM in the North, IIM Kashipur. Kashipur literally translates into “The Abode of the Shiva”, a city which has been named after Lord Shiva. This journey started when I got a mail from IIM Kashipur and the words “Congratulations you are selected” flashed on my screen. On the firsthand research, it was quite evident that IIM Kashipur was clearly different from all the new IIMs. It was the first one among all the new IIMs to move to its permanent campus. Unlike other new IIMs of the country, IIM Kashipur is established in a rural underdeveloped location and hence this offers us a chance to see real India through our own lens. It was established not only to raise future managers but also to develop the surrounding region as a whole. The professors and the guest lecturers often emphasize and motivate us to venture into social entrepreneurship. IIM Kashipur new campus July 2018
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How to eradicate castes from India ?

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Firstly remove caste-based  reservations (Only OBC reservations, not SC/ST reservations) and replace them with Income-based  reservations. The youth of our generation would not have cared much about castes had caste-based reservation not been there. Divisions will always remain in the society. They do exist in each country of the world. In India it is caste-based, in few countries,  it is colour based, in some, it is money based & so on. So what we need to achieve is the eradication of caste as a criterion for judging people, as a method of forecasting/estimating their abilities, talents & skills. This can truly be achieved if caste is not associated with status. So  HINDUISM caste-based  doctrines/ideologies must be dumped/discarded as early as possible. As a matter of fact, it has already started. We need to provide kids moral/ethical education & them to a level that they can judge what is right what is wrong. They can stand out against discrimination’s, inequa
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What went wrong with recent demometization drive in India ?

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500 & 1000 denominations are now just ordinary paper. They thought that the GENERAL PUBLIC of India is honest & will 100 % cooperate.But 90% of Indians are corrupt &  do corruption  whenever  &  wherever  they get a chance of making money. The sector which had the biggest responsibility of making it successful was  Banking sector .But they did money laundering on a large scale.That is why we see reports of obtaining Lakhs of rupees in the new currency. The income -Tax department is one of the most corrupted departments in India & they are entrusted by the government to catch Black Money holders.But I am sure they will make tonnes of cash themselves. The strategy of carrying out this massive drive was improper.Without proper arrangements it created/is creating havoc, panic & chaos on large scale.Proper plans for re-calibrating ATM's swiftly should have been envisaged in advance. The timing of this decision is worst.This is the session of marriages &
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2016 -The Year that changed Indian Media Forever

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It's 9:52 PM here in India and only a few hours are left before 2016 kisses us goodbye forever.Everybody is busy in retrospecting their memories of 2016 and I have decided to describe mine. It is already loud outside & I have just watched PM Modi's address to the nation. There are many ideas in my mind & I have chosen to say something about India's Media. This is a year that completely metamorphosed the way we perceive and think of MEDIA .Media is considered the fourth pillar of democracy after Legislature, Executive & Judiciary.It is the duty of Media to check the undesired advance of these three pillars of democracy when they become rustic and unrelentingly out of control. An ordinary citizen perception of the government is directly proportional to the way media of a country reports/rates the government & its policies.Media houses independency is a must and essential feature of a democratic nation.Any nation where media is not independent and is heav
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