In technical analysis we have different indicators to measure the movement of price for trading. One of such indicators used along with price action is Volume Weighted Average Price (VWAP). Price action of a stock or any other financial security can be analysed by using candlestick charts and price patterns. VWAP can be used along with other indicators for intraday … [Read more...] about Understanding Volume Weighted Average Price (VWAP) for intraday trading
How the finance department helps businesses to grow
In almost all companies, the finance department has two most important jobs: Recording and reporting of financial transactions in a company's books of account is referred to as accounting, managed by the accounts department. Effective management of a company's resources is managed by a team within the finance department, in certain companies it's referred to … [Read more...] about How the finance department helps businesses to grow
Shrinkflation: What is it and why is it used by producers
Shrinkflation is a process of items shrinking in size or quantity, or even sometimes reformulating, while their prices of the product remain the same or slightly increase. It is a tactic used as an alternative to raising prices in line with market inflation. Shrinkflation is also known as package downsizing. This means your everyday products shrink in size and quantity … [Read more...] about Shrinkflation: What is it and why is it used by producers
What are CPI and WPI inflation rates in economics
Government releases data related to consumer price index (CPI) and wholesale price index (WPI) of the country. WPI and CPI are the most commonly used measures to determine inflation. Inflation is a rate at which prices of goods and services are rising in an economy. Inflation is always expressed as a percentage. The main purpose of calculating consumer price index (CPI) … [Read more...] about What are CPI and WPI inflation rates in economics
What is Trade deficit and how it impacts the economy
Trade deficit of a country means its import for a period exceeds its export. Which means a trade deficit occurs when there is a negative balance in an international transaction. For instance, suppose in the year 2022 a country has exported $ 3 trillion in goods and services while it imports $ 4 trillion, the net result is $ 1 trillion trade deficit of that country. In … [Read more...] about What is Trade deficit and how it impacts the economy
Why Net interest margin (NIM) is important to banks
The most basic function of a bank is to take deposits and lend money. In order to make profit banks usually charge higher interest while lending money and pay less interest on deposits. The difference between the interest earned from loan and interest on deposits is called net interest income or bank’s core business income. In this article, you will learn what is the net … [Read more...] about Why Net interest margin (NIM) is important to banks
What is Monetary policy and how does it works
A country’s economic objective is met by two types of policy: Monetary policy is enacted by the country’s central bank. Fiscal policy is used by the government. A country’s monetary policy deals with money, currency and interest rates. In India, monetary policy is set by the Reserve Bank Of India (RBI), being the central bank of India. In the United States, … [Read more...] about What is Monetary policy and how does it works
Fiscal Policy: What is the purpose and its effect
A country’s fiscal policy along with the monetary policy plays a crucial role in managing the growth in the economy. The main purpose of both fiscal and monetary policy is to achieve full employment, maintain or achieve high economic growth and to stabilise the price and wages. Fiscal policy refers to the use of the Government spending and tax policies to influence the … [Read more...] about Fiscal Policy: What is the purpose and its effect
What is Stagflation and when it’s triggered
Stagflation is derived from two words stagnation and inflation. Stagflation is an economic term used to describe a condition that describes slow growth, high unemployment and rise in prices of goods and services. In other words, stagflation is a combination of three negatives: slower economic growth, higher unemployment and high inflation. Inflation refers to a sustained … [Read more...] about What is Stagflation and when it’s triggered
Deflation: Definition, Causes and is it good or bad for us
In economics, deflation occurs when there is a general decline in prices for goods and services across all segments of the industry. As prices decline, the purchasing power of money rises over time. Deflation benefits the end consumer as their purchasing power increases. They can buy more goods and services due to lower prices with the same income over time. Purchasing … [Read more...] about Deflation: Definition, Causes and is it good or bad for us