The Reading List: November 8, 2024
A look at some articles and social media gems from the world of economy, business and finance, curated by our research and opinion teams for your weekend read
Vasundhara Raje’s last gamble
She has been absent from the campaign for the seven Rajasthan assembly by-elections. Her reluctance to campaign across the state during the Lok Sabha polls undermined the BJP’s performance but highlighted her importance. At loggerheads with both state and national leaders, her best and possibly last chance for a comeback is if the BJP fares poorly in the by-elections.
The Fed talks about not talking about Trump
Jay Powell sets some limits
Vault Matters: The partial stand on usurious pricing
It’s time RBI calls out the rates charged by banks on credit cards as usurious. Singapore is a step ahead on this. Timely action is critical because the repercussions of increasing delinquencies among middle class borrowers can be far more scathing than what’s playing out in the low income category. The latter somehow or other gets support from the government. The middle class is left on its own
Chief Justice DY Chandrachud — A contested legacy
One of the most consequential heads of the Supreme Court, he leaves behind a mixed legacy. It includes dissents that may in future serve as guideposts, judgements that expanded the scope of fundamental rights and also verdicts which evoked sharp criticism
Why the crypto market is excited about Trump's victory
Under the Trump administration, if the U.S. were to roll out a transparent, safe, and reliable regulatory approach, it could catalyse a new era for cryptocurrencies worldwide
Trump 2.0 may pressurise India on its positioning in the Quad
India is the odd member out as it doesn’t seek a military alliance and wants to keep options open. Trump 1.0 gave Quad momentum and by the time India hosts the leaders’ summit in 2025, President Trump may question the hard security dividend US is getting out of its investment in Quad
Infrastructure, consumption or exports, which theme is your pick?
Investors often seek a theme that can play an outsized role in a country’s economic growth. India has three in contention, with a confluence of factors making a strong case in their favour. The key question is one outweighs the others
Chart of the Day | GST mop-up unlikely to reach FY2025 target
Domestic collections as a percentage of the total rose from 73 percent in FY2018 to about 76 percent in YTD FY2025
Has urban demand slowdown altered the investment outlook for consumption stocks?
The rural demand slowdown has handed over the baton to urban demand. While rural has picked up, the hole left by missing middle class demand, unless it revives soon, is too big to ignore
Gland Pharma's outlook brightens, but will it shine is the key question
The company's performance is recovering, with an improved guidance lending confidence. Still, it's not business as usual, a crucial acquisition must deliver results soon and a new CEO is waiting in the wings
How India can build a strong and successful carbon market
India’s carbon credit market, bolstered by recent regulatory changes, faces challenges in balancing supply and demand, ensuring compliance, and integrating with global markets. Clear guidelines for the voluntary market, effective monitoring, and regulatory stability are crucial for the system’s success and long-term impact
India’s Data Localisation for Payment Systems: Origins, evolution, and the road ahead
The author argues that these regulations need to be examined, with a proper assessment of the consistency of the standards they mandate, including any potential ambiguities
Donald Trump’s victory sets up traps for central banks
The incoming president is likely to attack the Fed if it seeks to counteract his policies or if inflation takes off again
‘They don’t understand my life’: what the Democrats misread about America
Donald Trump’s win shows party’s agenda failed to connect with voters, say critics
Safari Retreats: Apex court's decision on GST tax credits brings relief to construction sector
The Supreme Court's recent ruling clarifies GST credit eligibility for construction expenses. It emphasises the twin conditions of property leasing or selling before completion and qualifying as plant or machinery. The decision benefits taxpayers in commercial leasing, though the applicability of the functionality test requires careful consideration.
Will India-US ties triumph under Trump 2.0?
Donald Trump’s bonhomie with Narendra Modi is a big plus to strengthen the relationship between Washington and New Delhi
Trump 2.0: No big gains for the Indian economy
It would be interesting to see if Trump goes to bat for Musk’s many businesses – from X to Tesla to SpaceX and others and pushes for concessions from the Indian government for his Silicon Valley billionaire friend
Will Donald Trump 2.0 bring a paradigm shift in the existing global order?
Trump faces a world where the risks are far higher than during his first term in office, and his actions could be far more consequential
Markets have a steep wall of fear to climb
IT, pharma can gain from Trump presidency despite higher trade barriers
Vendor diversification and higher duties on China can benefit CDMO and chemical companies. Though renewable energy adoption can see lesser policy support
Trump 2.0 presents an opportunity for India to deepen defence ties
Track record of Trump 1.0 suggest defence ties will not be purely transactional. Yet, getting the US to show more commitment to technology transfer will be challenging. But Trump’s desire to cement a legacy is an opportunity that needs to be seized.
Trump presidency may rekindle trade friction with India because protectionism is at the core of his economic agenda
In his first term in office, Donald Trump referred to India as “Tariff King”. It encapsulates his mercantilist approach to economic policy. Prospects for an FTA with the US are not bright but the institutional mechanism in place and personal rapport between Trump and Modi should help both countries manage difficult moments
Why a Trump victory is good for the economy, markets and India
A higher focus on manufacturing, enabling investment in technology sectors, China +1 are likely to be positives for the US and Indian economy. How the Fed reacts is a crucial factor to watch, says S Krishnakumar, founder-director, Lion Hill Capital
Trump's victory prompts market shifts, new hopes for Indian investors
Trade tensions could increase, with higher tariff barriers against China and certain European nations. This shift might encourage some of the capital that recently moved from India to China to return, but under Trump's leadership, such flows are expected to be more selective
