The purpose of this study is to examine how Covid 19 outbreak has affected leading pharmaceutical stocks listed with the National Stock Exchange of India. We have selected ten leading pharmaceutical companies listed with NSE, and the selection was purely based on the market capitalization of the companies. The general hypothecation of this study was the pharmaceutical stocks will move against the general market trend (contrarian effect). The study period was classi ied in to pre-crisis period and Covid 19 crisis period.

Examining the interrelationship between currency market volatility and stock market volatility will create abundant trading opportunities to the investors irrespective of whether the return of one market is moving up or down. This research work intended to examine how the exchange rate volatility between Indian rupee and foreign currencies, such as US dollar, euro, Japanese yen and British pound, can influence the return and volatility of the Indian stock market. The research data extensively cover daily price observations of foreign currencies as well as Nifty index for 1500 days. The generalized autoregressive conditional heteroskedasticity (GARCH) is used for modelling foreign exchange (FX) rates volatility and its impact across Indian stock market. The mean equation of the model confirms that any appreciation in Indian rupee will lead to channelization of more funds towards stock market. Further, it is validated that the volatility shocks between the stock market and currency market are quite persistent. Besides the model also points that the volatility attributes are very strong between US dollar and Nifty. The Granger causality test wrap up with a finding that the volatility shocks of British pound have a causal relation with Nifty return. The result of this study will help the domestic as well as foreign investors in favour of portfolio diversification decisions. The study also spots that the policymakers can indirectly intervene into stock market through monitory policy measures.

The disbursement of working capital is usually considered as a short term cash flow and it is totally neglected by the policy makers to tag with profitability of a concern. Usually the variation in working capital will be observed at the end of the financial year. Such observations will be just a postmortem of financial events happened. Various metrics like Cash Conversion Cycle (CCC), Net Trade Cycle etc directly or indirectly controlling profitability of business. This work investigates how various working capital metrics influencing profitability of the firms by observing a data set of 100 manufacturing companies in India. This study comprehends ten year financial data from the FY 2005-06 to the FY 2014-15. All together a balanced panel set of 1000 firm-year observations form part of this research. The data analysis was carried out using both descriptive and inferential statistical measures. The results show that CCC is positively correlated to Net profit Ratio (NPR) but negatively related to the Return on Equity (ROE). Another major fact identified that the Indian manufacturing firms are having a high DPO (Days Payable Outstanding) while maintaining a moderate DSO (Days Sales Outstanding) and DIO (Days Inventory Outstanding). This situation spots towards the fact that the manufacturing firms are enjoying liberal credit policy from their suppliers. The study also looks into the impact of working capital on profitability at distinct economic phases. The result concludes that the influence of working capital on profitability was consistent irrespective of the economic cycle.

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Purpose The Oman economy is dominated by production and export of petroleum products and an overdependence on oil revenue, which may have contributed to the continuance of the “resource curse” phenomenon. The purpose of this research is to examine the co-integration of oil with macroeconomic indicators of Oman and of suggesting some policy reform measures to trim down overdependence on oil. Design/methodology/approach The authors culled out data from the annual reports published by the Central Bank of Oman from 1975 to 2016. Considering oil price and oil export volume as regressors, the long-term integration with other macroeconomic indicators was examined by using the bound test. Further, auto regressive distributed lag (ARDL) model was also derived to check the impact of these cross-sectional relations. Findings Oil price is observed to have a strong long-term significant relation with all the macroeconomic variables used in this study. However, the volumes of oil exports do not appear to have significant influence on GDP and consumption but do naturally sway other variables. This indicates that less elasticity of consumption to the flow of macro income, because the consumption in the Omani economy is driven by perceived future income. Oil export revenue is not seems to be much impacting on the real sector as the deficits are funded by the government through compensatory spending. Oil prices and oil exports have exhibited a strong long-term integration with variables such as gross domestic savings (GDS), credit to government (C2G), credit to private (C2P), demand deposits (DD) and time deposits (TD). This hints that oil boom does constitute the key source of funding of the financial sector of Oman. Research limitations/implications This study offers a generalized submission to support the real sector of Oman to lead out of a resource curse through diversification. The study however does not provide industrial groupings to assess the impact of fluctuations in oil prices. Originality/value This research has confirmed the existence of “resource movement” effect and “spending effect” in Oman economy. The nation needs to take radical measures to come out of this phenomenon. For addressing this we have suggested the modified version of Shumpeterian model of creative destruction. In this model we call for demolishing the oil dependent structure with a diversification structure. The new move can bring more positive effect on real and financial sectors of the economy.