Entries tagged with “us-economy”
Articles
3 articles found for us-economy:
- US Economic Slowdown – An Opportunity for India?
As the US economy edges toward recession, equity investors are seeking opportunities in other countries. The focus is on emerging economies, specifically in Southeast Asia, and the main contenders are China and India. Both countries have positive and negative factors influencing investor decision. Which country would attract the bulk of the diverted investments is yet to be seen.
- Downward Spiral of Tech Industry Valuation
The Indian tech industry has always been a strong player with consistent growth, but 2022 was a challenging year, and many companies saw a fall in their valuations. This was attributed to factors such as fear of recession fueled by rising interest rates in developed markets, which hampered the revenues, sales, and growth prospects of many tech firms worldwide, including India. Whether it is a short-term effect or will India’s IT sector suffer long-term consequences is yet to be seen.
- Reshoring in US: Need for Locally Resilient Supply Chains
US companies are increasingly reshoring their operations from China in response to supply chain disruptions and global uncertainties. CEOs in the US are investing in emerging technologies to enhance productivity and gain a competitive edge. The reshoring movement aims to build locally resilient supply chains and mitigate future risks. By adopting reshoring, the US can strengthen its manufacturing sector, foster economic growth, and create sustainable jobs.
Special Reports
2 special reports found for us-economy:
- US Legislative Drive for Sustainable Economic Growth
The US senate have passed three legislative bills - Infrastructure Investment and Jobs Act (IIJA), the CHIPS and Science Act of 2022 and the Inflation Reduction Act of 2022 in an effort to strengthen the US economy, combat climate crisis; and rebuild and modernize the US infrastructural landscape. This special edition provides the detailed insights on the three legislative bills passed by the US senate and captures the impact on sectors and the US economy.
- Q2 2023 Global Macro Report
Q2 posted a slowdown in global economic growth along with strong returns in risk assets. The IMF expects global growth to be lower in 2023 than 2022 for most advanced countries. It also expects headline inflation to decline owing to the aggressive monetary policies of major central banks, but core inflation may decline slowly. Chinese economic recovery seemed to have run out of steam after the initial reopening thrust, as shown by the decline in inflation, retail sales and PMI numbers.
Regarding asset class returns, equities rallied during Q2 due to strong corporate earnings in Q1, slowing inflation, a resilient US economy, and the AI theme. China’s sluggish recovery led emerging market equities to underperform developed market equities. Bonds gave a mixed performance with most yields increasing to price-in high rate expectations as central banks continued their hawkish policies. High yield bonds performed well despite their historically low yields. The US Dollar strengthened while gold price declined as the US Federal Reserve increased rates. Oil prices fell as expectations of a global economic slowdown loomed over investors.