Donald Trump has said that India is a very high tariff(tax) country. He would like to have a reciprocal tax on India. he said " India is a very high tariff country. They charge us a hundred, so we also want to charge them at list 25%".
My viewpoint It's looking like Trump's plan is to target growing economies like China and now India. The market will show a reaction to this news.
I also don’t understand how it’s “targeting”, so you charge 50% on HD motorcycles and expect the other party to charge 2.5% on RE.
harshit777
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@French_Fries, I think you have misjudged my post...
I'm talking in the context of the Indian market, just given a hint that the market could react negatively on Tuesday.
French_Fries
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@harshit777, I understand that, nothing against you or your post, I’m ranting on the facts right now. As far as market goes, here people are paying way to much in market also, just like taxes, keeping tarrif war aside.
harshit777
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@French_Fries, yes that's correct, But I think tomorrow market will react to it. what do you say?
French_Fries
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@harshit777, It’s hard to say for what exact reason market dumps or pumps, I don’t see this should affect it much like a 100 handle dump. BTW judging by benchmark is just like fooling ourselves, this index doesn’t reflect anything close to what reality is. Did u noticed during recent Pakistan conflict market didn’t even moved though it was a bigger event compared to this tarrif thing. So we might see even milder reaction from this news. I would love to see a straight 300 point fall but being realistic this news is meaningless for most part.
harshit777
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Can you ping me in my message box? i would like to discuss the current scenario
French_Fries
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He is right also, India is one of the highest taxed/tarrif country. The tarrifs should be lower not higher, it’s a tax on people.
harshit777
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@French_Fries, markets react to what's not good for them.
French_Fries
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@harshit777, I understand that also, The real thing about which market should be worried about is the wage growth in India with respect to the CPI. Do you realize that in past 5-7 years cost of everything has tripled but wages didn’t grew at all, to make matters worse job availability is shrinking. These things will come back to haunt sometime later.
harshit777
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@French_Fries, definetly, just think 60-70% India is young, unemployment will be the biggest issue in the future.