Last few days have been Godsend for the economists who love to play the mind games. We have had amazing mixed signals, though the net effect is more sentimental than real. -ves - Satyam fraud - banning of many IT firms by World Bank (more on that in the next post) - strikes by transporters and oil industry officers +ves - better IIP numbers - lower inflation - higher credit offtake - announcement on infrastructure spending by government What is future holding for us is anybody's guess! I still maintain that India will be one of the quickest off the block from this downturn. I see a major positive outcome of the Satyam fraud as most organisations will clean up their balance sheets, if there are inaccuracies, and then going forward good news will be a real one. The euphoria being over, consolidation in various industries will bring in efficiencies. Shedding flab due to the circumstances will mean healthier businesses. A control on spending will ensure that investments will be put in ...
Moving on from the core theme of only consumers to a broader Indian complexity. An amazing country that can be challenging to understand due to its diversity - economically, socially, linguistically, racially and what not. Enjoy the THALI as they say....