*Trump: The King of Debt*
U.S. bombing in Afghanistan is very confusing and putting lots of question about Trump’s policies.
Because, nobody was thinking or not on radar. And Trump given a surprise to investors by dropping the “Mother of All Bombs”.
So, people are talking again on falling treasury yields, stocks tied to Infrastructure and tax reform are stalling and even the Maxican peso has wiped out most of it’s losses. And North Korea might be working on anthore nuclear test. Trump, responded on North Korea, said: “North Korea is a problem. The problem will be taken care of.” So again, North Korea warns to regime that, “It’s ready for war, if they choose”. So, investors are worried on rising fears.
But after all, he wants to keep lower interest rates, $1t Infrastructure development. So probably, those agendas are not today in his priorities.
So, where are we headed???
As India prospective; we are much near to face GST from June, UP is Mr Modi’s baby now. Banks are flooded with cash after demonetization. And government pushing implementation of electronic payments system which will be increase direct tax collection. Which will provide funding to big infrastructure projects, rail projects.
After GST implementation, government will try to get clearance on Land Bill, Labor Laws Bill, which will provide more comfortable path to FDI and push to Make in India progress and creating jobs. As a government part they need to increase spending on educations and skills developments also as faster.
So as per my personal opinion, this might be a great chance to buy, let stocks come down, wait for settling all dust arounds, and enter for good stories based stocks. In fact, 200 to 300 points in Nifty50 might be get nominal effect for 5 to 10 years prospects or lesser than that.
So, still firmly believing as earlier, Nifty50 may cross 10K by August 2017, holding my view.