Posts Tagged ‘South Korea’

Weekly Update 12th – 16th July

Stocks in world markets saw huge gains as investors viewed that the recent correction out of fear of double-dip recession in advanced economies has actually overlooked improving outlook for the company’s earnings. Investors sitting on the sidelines bought stocks with the upward revision in earnings estimates for U.S. companies. The gains in markets got a further boost after China said that it will keep a moderately loose policy and South Korea raised interest rates.



Belief of Asian and Emerging nations will be able to withstand the storm coming from advanced economies rose with the interest rate increases in India, South Korea, Taiwan and Malaysia. The European Central Bank left interest rates unchanged as the sovereign debt crisis are still posing a serious threat to regions recovery.



The IMF raised its forecast for global growth to 4.6 percent in 2010, the biggest gain since 2007, compared with an April projection of 4.2 percent reflecting a stronger than expected recovery in first half and at the same time giving warning that financial market turmoil has increased the risks to the recovery. However, IMF has not revised the next year growth projections of 4.3 percent. The IMF urged developed economies governments to commit to implementing “credible” plans to lower their deficits over the medium term, including the adoption of binding, multiyear targets and said that they don’t need to start fiscal tightening before 2011. It said that monetary policy in advanced economies can remain “highly accommodative for the foreseeable future,” because inflation is expected to remain “subdued,” helping mitigate the effects of fiscal consolidation on growth. The growth forecast for emerging markets was raised to 6.8 percent, from 6.3 percent in April.



The fastest growth rate will be China’s 10.5 percent, followed by India’s 9.4 percent and Brazil’s 7.1 percent, the fund said. On the domestic front with the recent improved outlook in the monsoon situation and expectation of strong double digit gain in Index of Industrial production would keep the markets on a upbeat note. The result season that is going to start in the coming week and guidance by the companies for the rest of the year is further expected to set the momentum of the markets.



Indian stock markets are in a clear uptrend though other world markets which were in a downtrend took a sharp counter rally from lower levels. We will have to wait and watch whether the rally which has started in other markets can sustain or not..


Nifty has support between 5250-5200 levels and Sensex between 17500-17300 levels.



Volatility is spreading in entire commodity complex and thus investors are keeping a tight vigil on relative changes to find the best value. Fundamentals of Asian countries are still constructive but it is Euro zone which is still giving red signals. For the time being, commodities should move in a range. Later half of the week is full of event risk as some important data’s from US, UK, Japan etc. can speak about the health of economy, which may provide some much needed direction to the commodities. In NCDEX, volume of July contract is shifting towards August contract, hence some volatility in premium is expected in near term.

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LEAD “The Element of Earth’s crust”

Lead is a heavy, malleable, bluish grey metal. It is one of the metals most resistant to common corrosion problems. Lead has some important properties, in particular malleability (i.e. it can be hammered into shape), ease of production, ease of melting and joining, and good corrosion resistance.


There are many different uses of Lead. It may be used as a pure metal, alloyed with other metals, or as chemical compounds. The main end-uses for lead are as Batteries (80%) mainly cars, also industrial uses, Sheet (6%)- roofing, Lead compounds – stabilisers for plastics, Pigments – manufacturing of paints, Lead alloys – specialist alloys, Cable sheathing – power cables, Miscellaneous – includes radiation shielding, balancing weights.


The world’s top refined lead producing countries in 2009 were as follows:

1. China – 3.708 million tonnes

2. United States – 1.240 million tonnes

3. Germany – 388,000 tonnes

4. United Kingdom – 312,000 tonnes

5. South Korea – 290,000 tonnes

World production of refined lead totalled 8.815 million tonnes in 2009.


Capacity Production Figures in tonnes (1000s)


Demand Global lead demand this year is estimated at about 8.7 million tonnes, compared with 8.2 million tonnes in 2009. About 80 percent is used by battery producers. Demand for lead is less cyclical than that for most other base metals as about 40 to 50 percent is for replacement batteries, which makes it very resilient.


The top five lead consuming nations in 2009 were as follows:


China – 3.860 million tonnes, United States – 1.426 million tonnes, South Korea – 320,000 tonnes, Germany – 314,000 tonnes, Spain – 233,000 tonnes. In India about 75 per cent of total demand is from the domestic battery industries.


Tug Of War………..stocks V/s Price


Benchmark lead on the London Metal Exchange at around $2,221 a tonne is up more than 160 percent since hitting $850 a tonne in December 2008 when markets started to fear economic recession could turn into a 1930s style depression.


Since the beginning of the year 2009, lead prices as well as lead stocks are both increasing. The reason could be anything from large banks which are manipulating the market to gain profit on a short term to a big country which want to lower their USD currency reserves by stepping into metals.


In the year 2010, the graph of the lead price compared with the world stock of lead seems to look quite healthy. Lead stocks are getting up and as a reaction the lead price is going down. The basics of supply and demand seem to work.


News from Industry


·Xstrata’s sizeable Brunswick mine in eastern Canada is due to become depleted in 2011. It produced around 66,500 tonnes of lead in concentrate last year.


·Ivernia expects to produce about 60,000 tonnes of contained lead in concentrates in 2010 and expects that to ramp up to 85,000 tonnes a year from 2011 onwards.




Lead makes up only about 0.0013% of the earth’s crust.


India and China Inked a Global Climate Co operation Pact

India and China Inked a Global Climate Co operation Pact

India and China Inked a Global Climate Co operation Pact

In order to cooperate in the fight against climate change, India and China inked a broad agreement and also underlined a common position on controversial talks for a tougher global climate deal.

However, the agreement covers cooperation for action to reduce planet-warming greenhouse gases, transfer of technology and in areas of energy efficiency and renewables, etc.

Further, it is said that China is the world’s top greenhouse gas emitter and India the fourth largest whereas the deal is among many that India is sealing with rich and developing nations to prove its commitment towards sealing a new climate pact to expand or replace the existing Kyoto Protocol.


Additionally, this agreement holds good for 5 years and was signed by India’s Environment Minister Jairam Ramesh and Xie Zhenhua, vice minister at China‘s National Development and Reform Commission.

Similarly, India signed a deal with Japan this week and has also spoken of cooperation with South Korea, Brazil and the United States.

On the other hand, the India-China agreement stated that developed countries should take the lead in fighting climate change by reducing emissions and providing finance and technology to poorer nations.

What’s wrong with Indian football?

Indian Soccer : Past, Present and the Future.

While watching the Confederation Cup, I happened to wonder about India. More specifically, why a country with 1.1 billion citizens never been to the World Cup ? Why has India’s soccer team never ranked higher than 100 since 1993?:(

Football, as described by one of its greatest players as “the beautiful game”, football, the game that the poorest of the poor can play and succeed in, football, the game that has been defined by UNICEF as the greatest unifier of children across the globe.

In India, like cricket, football was imported by the British as a summer evening pastime. The first significant privately formed club was Mohun Bagan, who went to create history in 1911 by beating East York Regiment 2-1 in the IFA Cup final. Later, East Bengal and Mohammedan Sporting also challenged the British regime time and again with their performances on the field.

Post independence, Indian football reached new heights. The five Pandavas led by Appa Rao played for East Bengal as they conquered one Asian club after another, that too bare foot. Excellent results followed in the 1948 and 1952 Olympics, with Neville D’ Souza’s hat trick in 1952 and India reaching the last four the same year.

In fact, India could have been the first Asian country to play WC Football in 1950, but for the fact that they wanted to play bare feet, something which FIFA didn’t allow; despite Nehru’s best efforts (North Korea later had this distinction).

Asian domination was on for the next decade, with India winning everything in sight. One brilliant footballer came after another – Sailen Manna, T Ao, PK Banerjee, Chuni Goswami, Peter Thangaraj, Shyam Thapa and others.

Famous goalkeeper of 1970 Tarun Basu was considered the best goal keeper ever produced in Asia who used to pick up high lob ball in just one hand in front of the opponent players with ease .

However, all good things seem to come to an end – so did Indian domination in football. India, once ranked 7th by FIFA in the world, began to spiral down from the early 70s, reaching a Nadir in the early 2000s – a 157 rank. Currently India is languishing at 147 in fifa rankings. The other Asian countries like Japan, South Korea, UAE and Saudi Arabia made rapid strides while we kept on sliding back.

What were the possible reasons? Let’s have a look :

(1) Club over country –This debate, a comparatively recent phenomenon in European leagues, started way back in 1970s in India. Club football, especially for East Bengal and Mohun Bagan, was highly rewarding compared to national duties, especially in monetary terms. Playing for clubs like Mahindra and Mahindra and JCT also ensured jobs. Injuries picked up in domestic tournaments made a player skip national duties, and led to a decline in performance in the long term

(2) 70 minute matches in domestic football – In India, domestic football matches were of 70 minutes duration – this was fine as long FIFA did the same, however, when international matches began to be of 90 minutes from the early 50s, India failed to catch up. Most of the players were physically conditioned to play for 70 minutes, and multiple goals were conceded in the last 20 minutes

(3) Influx of foreign players – in 1970, AIFF opened the doors to foreign players to play in the local leagues. The intention was noble – to improve the level of football of domestic players through competition. However, it started to have a negative effect. The clubs arm twisted AIFF to have more foreign players per team than stipulated initially – this was done with the short term goal of winning tournaments and earns a quick buck. However, big bodied players (mostly African), mostly rejected by their local leagues made little or no impact other than injuring the smaller sized Indian players. They were mercenaries, and fled after making a quick buck. Only a handful, like Majid Basker, Jamshed Nasiri and Chima Okorie contributed with their experience to help the Indian players.

(4) Growth of cricket post 1983 WC – when Kapil Dev help the Prudential ICICI Trophy aloft at Lords’ on that memorable Saturday evening, it sounded the death knell for most other Indian sports. Sponsorship money flew in to cricket, leaving other sports high and dry. Indian youth no longer found it practical to play football to run their families or attain fame – cricket was THE GAME. Hockey survived on for some time, but only because it was still our national game

(5) Lack of sponsorships,prize money and apathy of the Government– continued from the above point. Only a handful of Corporates wanted to sponsor this sport, now a distant second to cricket in popularity. Even the Government’s interest gradually began to fade. The Indian Govt probably sees no reason to fund sports which their people have no interest in, and since the cultural impetus isn’t there to start the other sports up they just don’t get going. There are no takers for football… But India is a culture of cricket, and football is at best a second tier sport (competing with tennis, field hockey, even chess). So, until Nike’s money starts trickling down to the youth development level, and India can get good coaches (Bob Houghton is not exactly Alex Ferguson) India will not be good. But the future is bright.

(6) Lack of Proper Facilities and Infrastructure – Infrastructure and playing facilities in the top clubs and at district level is very poor. Low standard of training facilities, grounds, stadiums, hotels amenities etc; in the country add to soccer woes. Considering the fact that there is a huge turnout spectator during matches involving big clubs, lack of facilities is totally unacceptable,” said Spittler.

(7) Decline of Santosh Trophy – our national tournament, once the hotbed of discovering new stars, slowly reduced to a no-show due to bad scheduling and negligence by clubs (who refused to leave their “star” players), AIFF (did not care to find sponsors) and players themselves.

(8) Politicization and bureaucratization of the sport – Like most other Indian sports, the apex body, AIFF was headed by a politician (for close to 20 years, it is now held by another politician), who ran it like his personal fiefdom. Most of the top positions were given on basis of political affiliation, and the state bodies became hotbeds of corruption.

Money reserved for sport or anything for that matter, often fills the pockets of bureaucrats. When it comes to soccer selection it is essential that a minimum no. of players are recruited into the teams from each zone. Zonal selection policy turned biased and partial of late.

(9) No international tournaments in India – we had one, the Nehru Cup, where we dominated the best teams to win at one stage. Even when we lost, we had our boys play against top teams across the globe like Cameroon, Romania and Mexico. Gradually, this tournament died, again due the factors like low sponsorship and lack of interest. Thankfully it was revived last year and we emerged as the winner of Nehru Cup first time.

(10) Lack of icons in recent times – Cricket has lots of them, shooting had its Jaspal Rana, Anjali Ved Pathak and now Abhinav Bindra, athletics had PT Usha and Anju Bobby George, even Golf had Jeev Milkha Singh. However, in recent times, there has been no footballer who has been held in that high a regard. IM Vijayan, Jo paul Ancheri and Bruno Coutinho were great footballers, but they had little or no media appeal. Bhaichung and Sunil Chhetry in recent times have had their moments of glory in the media, but are not really in the same league as the cricketers. Baichung’s Bury FC stint too, has been thrown off in the dustbins of history.

(11) Climate – Climate is other factor. Playing football for 90 minutes in 100-120 °F temperature is not easy task for not so big build up Indian guys.

(12) More importance to education – Negative attitude of parents taking Soccer not as a Full time career option for their children is another reason for the lack of interest for soccer in this country. Our government spends many times more on education than on sports. Parents don’t feel that a full-time career in this game can provide economic security to their children.

Is Indian football beyond revival? I don’t like to believe so, in fact, I pray to the contrary.:)