Recently, there was a major furore when Donald Trump proposed import tariffs of 25% on Steel and 10% on aluminium imported into the US. That would immediately mean that the steel and aluminium consumed in the US becomes more expensive and triggers inflation. However, the immediate reaction was threats of retaliatory tariffs. The EU, which …
In what was long anticipated to happen, Morgan Stanley Capital International (MSCI) which is the world’s largest provider of tradable indices has decided to add China also to its list of countries. Over the past few years, China has been pitching for inclusion in the MSCI-EM index, but they had been kept out due to …
A key highlight of the dollar has been its waning strength over the last few months. A variety of factors have been attributed to it like a reversal of the Trump Trade, cautious hawkishness from the Fed etc. But above all, it is also an indication that other economies are actually showing signs of strength. …
The recent India Development Report (IDR) update released by the World Bank has identified some key economic, financial and environmental parameters that could position India in a sweet spot with respect to growth. In fact, the World Bank has expressed surprise that the Indian economy had recovered quickly from the liquidity effects of demonetization. On …
The US Federal Reserve (Fed) announced on 24th May the minutes of the Fed meet held on 03rd May 2017. It may be recollected that in the May 03rd FOMC meet the Fed had chosen to maintain status quo on rates. The big debate now is over the number of rate hikes that the Fed …
The last time that the Chinese economy was downgraded by a rating agency was nearly 3 decades back in 1989. That was in the immediate aftermath of the Tiananmen Square massacre where the Red Army had rolled its tanks over a student protest resulting in the death of 10,000 students. Since the early 1990s, China …
To understand the end of the end of the Trump Rally, one needs to first understand what the Trump rally was all about. When Trump was voted to power in November 2016, it raised hopes that Trump would live up to his promises of cutting individual and corporate taxes as well as investing $1 trillion …
Recently the global market capitalization of all listed stocks across the world touched a high of $72 trillion. Interestingly, the world market cap had touched a high of $67 trillion way back in 2007 at the peak of the global equity boom. When the sub-prime crisis struck and later Lehman went bust the global contagion …
In the latest meet of the Federal Open Market Committee (FOMC), the board of the Fed opted to maintain status quo on rates. Thus the Fed rate remains in the range of 0.75% to 1.00%. It may be recollected that the Fed rate was hiked in December 2015 for the first time after a gap …
The much awaited tax announcement of Donald Trump came in on 26th April. Most of the tax cuts proposals were along expected lines. Here are some of the key highlights of the Trump tax proposals: The corporate tax rate will be cut from the current level of 35% to 15%. This is likely to …
