TMSEp214: Trade in rupee, Nicholas Stern, mid small caps, market correction

India’s central bank on Monday announced a mechanism to settle international trade in rupee. The move will definitely make trade easier with Russia and some other countries facing US sanctions. We find out more about the Reserve Bank of India’s decision and its likely impact.  

Russian invasion of Ukraine is, in a way, prompting countries to look beyond the US dollar for trade. Similarly, the war may accelerate the case for moving away from fossil fuel too, feels Nicholas Stern, professor of economics at the London School of Economics. He spoke to Business Standard’s Asit Ranjan Mishra on wide ranging issues, including the focus areas and reforms that India should undertake to become a developed economy? 

Meanwhile, moving on to markets, mid-and-small-caps indexes have outperformed their large-cap peers in July so far. So what is attracting investors to these two market segments, and will this outperformance last? 

When stock markets undergo correction, most investors turn towards the exit route -- thinking that he or she would re-enter when it is all over. This phenomenon is called “market timing”. Experts don’t recommend it as no one manages to pull it off consistently over a period of time. This episode of the podcast offers some tips to mutual fund investors.