tag:blogger.com,1999:blog-7294165939647321702.post6047363219548240075..comments2024-03-28T13:45:43.362-04:00Comments on <center><a href="http://www.barelkarsan.com">Barel Karsan - Value Investing</a></center>: Risks Going ForwardSaj Karsanhttp://www.blogger.com/profile/04493152766022812984noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-7294165939647321702.post-19325473363258825912009-08-06T08:40:18.214-04:002009-08-06T08:40:18.214-04:00Hi Karsan
You have echoed what has been a concer...Hi Karsan <br /><br />You have echoed what has been a concern area for me in the current rally. Globally I think corporates have delivered better quarter earnings largely driven by bottomline improvements and not topline growth.<br /><br />Also a significant chunk of the bottomline improvement has been driven by lower commodity prices and reduction in employee costs.<br /><br />Unless we see some turnaround on the topline front, I dont think there is too much bottomline improvement that u can push for. <br /><br />There is a lot of liquidity in global markets driven by the stimulus packages rolled out by various central governements. If the stimulus packages fail to kickstart growth, we risk building liquidity driven inflation in the system and the subsequent tightening. <br /><br />Cheers<br /><br />NinadNinad Kunderhttps://www.blogger.com/profile/14275940021296930028noreply@blogger.com