Friends,

The biggest upset in politics , that is , Left deciding to withdraw support to Congress and still market was down just 176 points.

How many thought of market plunging only this much?It went down by 300 points but recovered half in last session.

Hence it becomes now clear that market already discounted the withdrawal of left support as if this was not discounted then market could have tanked by over 1000 points as destabilization of  government in center is looked upon as a big negative for market.

I think Left made a tactical error while withdrawing support to UPA as they already were able to garner support from SP and there is no way congress led UPA government can have any problem to go through the much needed Nulcear Deal with USA which will put us in an enviable postion with other countries especially the neighbouring countries.

The SP support is a master stroke of the younger sibling of the Ambani family.While making arrangement of support for UPA led congress government, Anil Ambani has showed his political acumen as well besides been showing how much astute he is when he was given just Khokha of companies when the two brothers departed.

While the elder get tge cream of the co , like IPCL and Ril Ind,where all the oil and gas story was there in it , Anil Ambani got Rcom and Ril Energy(Old Bombay Suburb) Ril Capital.While only Rcom was having some good subscriber , Ril Energy which was Bombay Suburb Electric Supply(BSES), this co was taken over by Dhirubhai Ambani which was mere a power distribution co in some suburbs in Mumbai as Tata Power also was the main player in Mumbai and that too in most of the part.

While BSES was just a power distribution co even when Anil Ambani took over , it has come a long way after the two brothers deprated.According to my view , if it would have been other person and not Anil Ambani then the devision  between two brothers would never have happened because while the equal devision work was done by the wellkown figure, Mr K V Kamath the head of ICICI,the ratio that came was 70:30 in favour of Mukesh as it was impossible to divide the co on  valuation which Ril Ind possesses which consist of big oil and gas reserves.

And at that time it was decided that Mukesh Ambani would make up that loss of 20% by giving Cauvery Basin Gas at reduced rate but Mukesh is not ready to give anything to Anil more after seeing that AA can over cross him in wealth even without that gas he has to give to AA as a part of  this pie for equal devision.Instead he is trying to create all obstacles not to let Anil do whatever he wants to.MA knows that if the MTM deal is done AA will surely be bigger then him.

Even if we take Ril Cap which AA get in his part, Rcap was nothing but a small financal entity and nothing more and was seeing the price of just Rs 150 or so when the two departed but it was AA’s acumen that he made Rcap a financial power house and I think Rcap is going to go places in future as well.Though in financial world , AA do not have much respect but according to my view AA has showed much much more business guile then MA as the later was already sitting on a big business while AA created everything on his own from whatever Khokha which were empty which he got when two departed as can be seen on Rcom use to have some business while Rcap and Ril Energy were just companies and nothing more….which AA got but still AA was confident of himself that he will succeed with this as well.

Well,the SP party support for nuclear deal to congress will act as a great backing for AA’s project as it is a wellknown fact that Amarsingh is very near to AA and so is Amitabh Bachhan’s family.

Well, coming back to market, the small fall of 176 points is the testimony that market is not giving much weightage on this development as this is already discounted.

Only if crude goes up from here we can see more down side otherwise on any good news market will react positively or to say atleast will not  succumb to negative news………..