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After opening the day deep in the red, the Indian indices registered some gains but failed to inch enough upwards and continued to trade negatively. Sectoral indices are trading on a mixed note with stocks from the energy and IT sectors witnessing maximum selling pressure.
The BSE Sensex is trading down 44 points (down 0.2%) and the NSE Nifty is trading down 7 points (down 0.1%). The BSE Mid Cap index is trading up by 0.3% while the BSE Small Cap index is trading up 0.2%. The rupee is trading at 66.67 to the US$.
As per an article in The Economic Times, the government is looking at a slew of measures to promote cashless economy in order to curb the flow of black money in India. The measures also include creating an ecosystem to incentivize cashless transactions.
The proposed measures include encouraging installation of point of sale (POS) machines by rationalising merchant discount rate (MDR) and allowing first five interbank transactions free of cost in order to promote online money transfer. Also, the taskforce set for this initiative has suggested setting up of more ATMs.
The finance ministry recently stated that the government has taken sustained steps for curbing black money which includes enactment of a new Black Money Act with strict penalty provisions and new income disclosure scheme formulated for domestic black money. Also, Finance Minister Arun Jaitley had earlier stated that the government wants to drive the country towards a cashless society to curb the flow of black money.
Black money is money which has been earned, but on which tax has not been paid. And it forms a major part of the Indian economy. Vivek Kaul, editor of Vivek Kaul's Diary, has offered some interesting data that shows India's love for black money. He recently wrote an insightful article that correlates car sales to black money.
Moving to the news from engineering sector. Crompton Greaves has launched a smart ceiling fan dubbed 'Avancer E-Sense'. The move is in order to speed up its growth in fan market which is growing at a slow pace.
Avancer E-Sense is India's first Radio Frequency (RF) enabled remote and temperature-sensing smart ceiling fan and could sense the temperature in the room and change the speed accordingly. It has intelligent speed control sensors that adjust its speed automatically, on the basis the ambient temperature.
Crompton Greaves is an Indian multinational company engaged in design, manufacturing, and marketing of products related to power generation, transmission, and distribution. The above development could aid the company's sales. Presently the stock of Crompton Greaves is trading up by 0.1%.
The Bank of Japan's (BOJ) March 14-15 meeting minutes released Monday suggested that BOJ's nine board members said the step to impose a charge on some deposits held by commercial banks had added to anxiety among financial institutions and depositors. The members also noted that the measure had exacerbated market volatility and created excessive expectations for further monetary easing.
The minutes made it clear that tension over negative interest rates had hardly subsided since Governor Haruhiko Kuroda pushed it through a divided board in January. One shall note that the BOJ left unchanged both its asset purchase program and its negative rate levels at the March meeting. Following this decision, BOJ Governor Haruhiko Kuroda stated that the BOJ remained committed to achieving its 2% inflation target in about two years.
In a recent entry in Vivek Kaul's Diary, Merryn Somerset Webb states how the BOJ is trying to buy the entire Japanese stock market.
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