In this Face2Face video, Ayesha Tariq will discuss how the
US 2024 elections may affect the Indian Stock Markets. The upcoming 2024 US
elections may significantly impact the Indian stock market, with commodity
prices, inflation, and global economic relations at play.
Let us discuss important highlights as discussed in this
video-
Market Dependence on US Economy
The state of the US economy and the Indian stock market are
inextricably intertwined, with changes in US markets influencing investor mood
in India. In general, Indian markets do well when the US economy is doing well.
Impact of Election on Policies
The fiscal and monetary policies of the US presidential candidates will decide how inflationary pressures are managed, which might affect commodities and equity markets around the world,
including India.
Gold as a Hedge
Gold is predicted to be a preferred asset in the event of
economic turmoil, drawing in investors looking for security in the face of
possible market volatility. The trading of commodities in India may be impacted
by this trend.
Sector Rotation
The sectors in Indian market keep rotating and sectors
associated with rural development and government spending will probably see
higher investments, which would stimulate economic growth.
Divided Congress Advantage
A divided Congress could facilitate smoother policy
implementation and even create an atmosphere that is more investor-friendly by
reducing parliamentary deadlock.
Volatility and Positioning
The macroeconomic environment have made the current market
more volatile, which has made Indian retail investors wary.
Global Trade Implications
Trade disputes and tariffs, especially during a Republican
administration, may result in a higher currency, which would affect inflation
and economic development worldwide and have repercussions for developing
nations like India.
Your Speaker
Ayesha Tariq
Your Host
Vivek Bajaj