Was GOI responsible for crash in FT stock ?

By | August 5, 2013 3:58 pm

15 years ago as middle aged traders on Dalal Street, we saw the emergence of stalwarts like Dr RH Patil and some techies like Jignesh Shah of Financial Technologies. People used to talk in whispers how the Rs 40 stock of FT would make billionaires many times over for Indian investors. The reason was simple, just like Microsoft, FT’s NISE was the only licensed stock trading platform permitted for use on the NSE terminals. The meteoric rise of the NSE and consequently NISE made Jignesh Shah one of the youngest billionaires in the country,

Good things do not last for too long in a country run by crooks. In some ways FT’s undoing was to promote a parallel commodities and equities exchange under the acronym MCX-jointly promoted by NABARD and a host of other GOI bodies. It had a successful issue with the IPO listing at Rs 1400 on Day 1. Today the scrip is locked at a lower circuit of rs 150 alongside promoter FTs stock which has lost about 70 per cent of it’s market cap in 2 days.
Why? The GOI in a most characteristic cavalier move asked MCX to square all forward contracts on the exchange and for others they reduced them to delivery trade. So much so that no intra-day squaring is allowed unless the first trade was to have been long in any commodity, metal or stock.
There is a near certainty now that the MCX, FT and NSEL will either be taken over by the GOI or will go under receivership. If this happens, the UPA 1 and 2 would accomplished what few governments have done in 65 years. A lower circuit on the NSE/BSE, an upper circuit on the BSE/NSE and a closure of a parallel exchange.
What beats everyone that if Gold is the only problem affected the FX position of India, why are currency futures being permitted on the NSE. They should have been the first to have been banned, But no sir, larger forces are at play. It is inconceivable for a person without roots to dream of becoming a billionaire in India. That my dear friends rests with politicians and their chums from Sanawar, Doon, Mayo, Scindia and Bishop Cotton.
God save this nation!
Taken from Internet
Category: Daily

About Bramesh

Bramesh Bhandari has been actively trading the Indian Stock Markets since over 15+ Years. His primary strategies are his interpretations and applications of Gann And Astro Methodologies developed over the past decade.

One thought on “Was GOI responsible for crash in FT stock ?

  1. Vips

    This is true, but WE WILL BECOME Billionaires in dollars what may come, whether in INdia or abroad. Let GOI do what they want ( over optimist 😛 )

    Reply

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