krishna rao / simpleton

India Investors Best Off Sitting on the Sidelines for Now

The US FED exchanged Treasury Bills for Sub Prime Paper. Expansion of Credit was fueled into Oil Futures to recover the losses so far written down. Oil will be going to 150$ and there will not be a shift in engine of global growth till alternatives are found or china and india consume more than US.. ( which is a long way off ).

So , USD will drop , IT will survive , Gold will go to the moon.
India has to reduce subsidies to be economically vibrant and that can only be possible with increased crude prices. So in a way , we are getting forced into making the right decisions.( not populist ones ).

In short , we are between the devil and deep sea and I hope the po;iticians know which side of their bread is buttered...