Tuesday, March 15, 2011

Indian indices nuclear effect visible

Indian futures came down sharply today on the Japan's nuclear explosion.
There is sure a high cost associated with such event and every nation has to pay and I feel every one should help Japan at their times of test.

Coming to futures I feel Put buying has to be done from here as the downside is high from here.

There is every chance that these events can affect a lot of countries and companies. There could a big effect on the earnings and revenues.
The insurance companies has to pay and they can sell off most of the assets parked and equity is the most liquid among all.

Going by history the Kobe earthquake took the markets down a lot as posted y'day here. And this one is most severe that any on other on earth in recent times.

India although is safe from the financial tremors but in recent future there is still no trigger for it to outperfrom. So Put can bring protection to the portfolio.

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