India vs. World

We talked about Sensex underperforming Dow on 24 January (Sensex vs. Dow), the same happened. We don’t think that that Sensex has done underperforming against Dow just yet. A 6 month performance comparison of global indices vs. India still places most Indian sector indices much higher among their global peer. The max performance difference possible between two indices is 100.

As one can see S&P 100 and French CAC are still 60% lower in rankings compared to Nifty. Italian MIB is almost 70% lower compared to Nifty. These performance differences become larger when we compare global Indices with Indian Sectoral Indices. BSE Capital Goods sector Index is 80% higher in performance compared to S&P 100 and 67% higher compared to DOW. According to this grid there is lot of catch up India has to do still before it starts to outperform again.

We went for beer to celebrate the Indian victor over Pakistan in the cricket semi finals on 30 Mar. A gentleman from Hoshiarpur (Punjab) made a smart forecast after India was through to the final. He said, “Tomorrow the Sensex will open up in the morning move up 100 points and then close 100 points lower, making an intraday swing of 300 points.”

What happened? …

This article is written for Business Standard

Time Triads, Time Fractals, Time Arbitrage, Performance Cycles are terms coined by Orpheus Research. Time Triads is our weekly market letter. The report covers various aspects on TIME patterns, TIME forecast, alternative research, emerging markets, behavioral finance, market fractals, econohistory, econostatistics, time cyclicality, investment psychology, socioeconomics, pop cultural trends, macro economics, interest rates, derivatives, money management, Intermarket trends etc.


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