India 10-Year Bond Yield....7.103
finally whatever it might be and whoever talks nonsense but what i have come to know is that to very great extent the economy is run by the MONEY SUPPLY which is infused in the economy by the reserve bank of india and by the changes in the Interest Rates as per the Inflation Levels...And always remember psychology plays a very important role in the economics..
what data i have known from hindsight is that the 10 years g sec rates generally drop below 6% and range between 5.5% to 6 % ans sooner thereafter the economy starts rolling..and it is also reflected in the stock market as they also keep on making new highs..stock market starts rolling because people start rolling and invest more money in the stock market..more money in the stock market the more the higher levels of nifty and new life time highs...
other observation i can make but note all these observations are pure guess work and i can go miserably wrong, is that the 10 year g sec will go below 6% by 2018 and not before that..and the economy will start rolling from 2018...businesses will do good and so the earnings of companies will go up...and so the stock market PE...note earnings of all the companies might not go up..but majority will do go up..
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