co-presented by
ASSOCIATE SPONSORS
co-presented by
ASSOCIATE SPONSORS
Worried over the fallout of the US debt problems on the Indian economy, industry today demanded another stimulus package to boost domestic demand and investments amidst signs of slowdown in industrial growth.
The Reserve Bank of India got into damage control mode immediately after the news about the US downgrade broke. The regulator tried to calm jittery investors with an assurance to respond quickly to any liquidity outflow. But what will be the immediate challenges for the Indian economy in the wake of the recent downgrade?
The crises at the heart of the international financial and political system go beyond the debt woes currently gripping the Western world and to the heart of the way the global economy has been run for over two decades.
This is not where the market will pause, say experts. The cut can get deeper with the Nifty going down to 4,700-4,800 levels, according to chief operating officer of Way2Wealth, Ambareesh Baliga. But it is not as bad as 2008, he said, reasoning that people are not really leveraged as of now.
Oil fell as much as USD 3 a barrel on Monday as worries over a possible double-dip recession spread after Standard & Poor's cut the United States' top-tier credit rating and European central banks struggled to contain a deepening debt crisis.
The first-ever downgrade of the US government's credit rating reflects the lack of credibility in the US debt reduction plan, says C Rangarajan. "
Laurence Balanco of CLSA said the Nifty has slipped below its key support area that was running from 5100 to 5200.
