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The causes are sharply reduced demand, heightened third-world competition and a global easing of inflation.
At their October meeting, Federal Reserve policy makers unanimously approved leaving the overnight bank lending rate unchanged because of slowing economic demand and an easing of inflation pressures.
The easing of inflation worries smooths the path for further interest rate cuts from the People's Bank of China, after three such cuts since mid-September.
A. Vinay Kumar, a professor of finance at the Indian Institute of Management in Lucknow (IIML), says the easing of inflation is "the most heartening story of all".
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But, in recent months, a weakening of economic indicators and easing of underlying inflation pressures (falling oil, food and commodity prices) have led the central bank to take out its scissors and slash the borrowing rate (see: "An Ominous Signal From The Bank Of England").
Stocks made a strong move higher Monday as a new spate of merger activity and a surprising rise in home sales restored investors' confidence in the economy and eased fears of inflation and higher interest rates.
Stocks climbed to record highs Thursday for the third time in five sessions, powered by new evidence of a slowing economy that eased fears of inflation and higher interest rates.
The ease of inflation and deflation reduces the flood damage cost, O&M cost, sediment removal cost and repair work cost.
The upturn has, however, been gradual, in part because policy makers have been eager to steer the economy toward more modest expansion in the hope of easing the risks of inflation, potential loan defaults and inefficient investment.
On Aug. 8, the Federal Reserve kept interest rates unchanged for the first time in more than two years, easing immediate fears of inflation.
Mr Mukherjee foresees a rosy period of easing inflation, reviving foreign investment and robust public finances.
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