In case you are new to QE Tapering please read our basic article from What is Quantitative Easing
Some years back US Fed bank was giving QE of $80 billion per month. Now looking at the current US economical scenario US Fed has decided to minimize(Tapering) this QE gradually.Now if that happens how does it affect the Indian scenario.
Before QE Tapering came into picture US money was always flowing into India.This money were from long term investors who believe in Indian growth economy.When QE tapering happened some access money must have flowed in so probably this will flow back to US gradually.Definitely foreign investors who believe in Indian economy will not think of quitting.
The most important point is to implement QE tapering the US fed will take at least a year or probably much more than that.So the Friday fall was a emotional fall and over exaggerated.
If India story is good we do not need to be slave of US QE or some bunch of FII's. FII's will come to India if growth is good. But the sad part is scams,no proper policies, instable politics can have negative impact on long term foreign FII's.
So this definitely not the end of Nifty and we will have a bull run if we fix our house internal.
Some years back US Fed bank was giving QE of $80 billion per month. Now looking at the current US economical scenario US Fed has decided to minimize(Tapering) this QE gradually.Now if that happens how does it affect the Indian scenario.
Before QE Tapering came into picture US money was always flowing into India.This money were from long term investors who believe in Indian growth economy.When QE tapering happened some access money must have flowed in so probably this will flow back to US gradually.Definitely foreign investors who believe in Indian economy will not think of quitting.
The most important point is to implement QE tapering the US fed will take at least a year or probably much more than that.So the Friday fall was a emotional fall and over exaggerated.
If India story is good we do not need to be slave of US QE or some bunch of FII's. FII's will come to India if growth is good. But the sad part is scams,no proper policies, instable politics can have negative impact on long term foreign FII's.
So this definitely not the end of Nifty and we will have a bull run if we fix our house internal.
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