Representative image Impostor syndrome seems to be more common than actually thought, though at a collective level. People may often feel that the groups they are affiliated with may be underperforming in comparison to other groups. Although this self-critical approach may work in certain cases, it may also overlook the positives, and decrease the morale of those affiliated with the group. Many in India seem to have a collective/national-level impostor syndrome. While the Indian economy is much better placed than its peers in the emerging markets, and other economies, the government is being criticised on the economic front. The criticism comes when the fundamentals of the Indian economy are robust, despite the exogenous shocks caused by the COVID-19 pandemic, supply chain disruptions, monetary policy tightening by the US Federal Reserve, the Ukraine-Russia conflict, and inflated crude oil prices. India's macroeconomic health remains robust despite external pressures, and ongoing … [Read more...] about Bibek Debroy writes: India’s economy is better placed than its peers, other economies around the world
Brick factory investment in india
- A + A (Aug 9): Micron Technology Inc said it will use “anticipated” government grants and credits to help it invest US$40 billion by the end of the decade to build out US semiconductor manufacturing capacity. The company expects to begin to produce chips after 2025 and said it will create as many as 40,000 jobs, the Boise, Idaho-based memory manufacturer said in a statement on Tuesday. The investment is being funded with subsidies it believes it will be awarded from the Chips and Science Act, Micron said. The spending plan is part of the company’s previously announced US$150 billion global investment goal, which it detailed last year. President Joe Biden is expected to sign the chips act into law on Tuesday as part of a package of spending and tax reforms. Most of Micron’s production is done in Japan, Singapore and Taiwan. “Micron’s domestic leading-edge manufacturing capabilities will ensure US national security and supply chain resilience as demand for memory … [Read more...] about Micron to invest US$40b by 2030 to build US memory plants
Representative Image In the August Monetary Policy Committee (MPC) meeting, RBI Governor Shaktikanta Das said that the Indian Rupee (INR) has fared “much better than several reserve currencies as well as many of its EME and Asian peers”. The Governor also added that the INR has depreciated “more on account of the appreciation of US dollar rather than weakness in macroeconomic fundamentals of the Indian economy”. Of late, there has been a lot of discussion around the INR. Towards the end of July, the rupee touched 80 against a US dollar , leading to discussions that it is a sign of a weakening Indian economy. But, is this the case? First, exchange rate increasing or decreasing against a foreign currency is not a sign of weakness or strength. In fact depreciation of the currency is often cited as a positive development for the domestic economy. If a currency depreciates against a foreign currency, the exports become cheaper with respect to the other country, and imports … [Read more...] about USD vs INR | India’s macroeconomic fundamentals are strong
A crowd at an election rally in Uttar Pradesh. (Image Source: AP/File photo) The prime minister has set the cat among the pigeons, with his fusillade against election freebies while inaugurating the Bundelkhand expressway. He said the culture of garnering votes by promising freebies harms the country’s economic development and warned the youth, ‘Your present will be lost and your future pushed into darkness.’ Those who believe in distributing freebies, he said, would never build infrastructure, sorely needed for securing the country’s future. That little speech succinctly lays out the rationale against populism---it promises instant gratification, at the cost of future penury. Predictably, the speech drew the ire of AAP supremo Arvind Kejriwal, who defended his trademark policy of giving away free power. His promise of giving 300 units of free power to each household if his party wins the Gujarat elections is estimated to cost the state Rs 8700 crore a year. It is policies such as … [Read more...] about The hidden cost of free lunches
Representative Image. (PC-AFP) The Chinese military, for the last week, has carried out military exercises involving missile strikes, warplanes, and ship movements crossing the midline of the Taiwan Strait. As a response, Taiwan's military also began a live-fire artillery drill simulating a defense of the island against an attack after days of massive Chinese military exercises. All the while, international cargo traffic in the Strait of Taiwan has been hit and ships are looking at alternate routes. "The number of shipping vessels operating in the Taiwan Strait has dropped from around 250 a day to just 15-20 ships a day, after the Chinese military blocked six zones in the Strait," a trader based out of Singapore told Moneycontrol. He added that many shipping lines were even cutting short scheduled loadings for importers across Asia. Close The Chinese government has been firing missiles across the Taiwan Strait in protest of a visit by US House … [Read more...] about MC Explains: How Chinese military drills around Taiwan will disrupt global shipping
Dear Reader , The Panorama newsletter is sent to Moneycontrol Pro subscribers on market days. It offers easy access to stories published on Moneycontrol Pro and gives a little extra by setting out a context or an event or trend that investors should keep track of. In a case of how cheer for the economy may not be so for markets, investors in US stocks fretted over excellent jobs data. US businesses added 5,28,000 jobs in July, beating most estimates by an embarrassing margin. US 2-year treasuries rose after the report, as the market priced in a more certain likelihood of another 75-basis point rate hike by the US Fed. But the S&P 500 slipped, as investors pondered over what too strong an economy could mean for interest rates. Those fears did not carry over to India, however, with the stock market rising by a strong 0.8 percent at 1.15pm. The RBI’s 50 basis point hike in the repo rate last week and its determination to stay in ‘withdrawal of accommodation’ mode is … [Read more...] about Moneycontrol Pro Panorama | Are US and Indian markets decoupling?
Share to Twitter Share to Linkedin It hides in plain sight in a Seattle neighborhood. A building that would not attract even a hint of curiosity. Inside it’s a bit of a different story as this seemingly bare-bones structure serves as the fulfillment center for Blue Nile , the world’s largest Internet retailer of diamond jewelry. It’s easy to view Blue Nile solely as an early eCommerce success story but perhaps its greatest feat is the ability to produce and ship jewels in a highly efficient manner based on the individual requirements of an online order. This efficiency is one of the ways it earns the trusts of customers making a highly emotional purchase. The nondescript nature of the facility is due to security concerns. The merchandise is highly valuable, consisting of diamonds, colored gems and precious metals. Inside, multiple doors are used to enter and leave certain areas for security purposes. Workers were not identified in the story for the same … [Read more...] about How Blue Nile Delivered A Million Pieces Of Bridal Jewelry
WASHINGTON- President Joe Biden on Tuesday signed a landmark bill to provide $52.7 billion in subsidies for U.S. semiconductor production and research and to boost efforts to make the United States more competitive with China’s science and technology efforts. “The future is going to be made in America,” Biden said, calling the measure “a once-in-a-generation investment in America itself.” Biden touted investments that chip companies are making even though it remains unclear when the U.S. Commerce Department will write rules for reviewing grant awards and how long it will take to underwrite projects. Some Republicans joined Biden on the White House lawn to attend the signing of the chips bill that was years in the making in Congress. The chief executives of Micron, Intel, Lockheed Martin, HP and Advanced Micro Devices attended the signing as did governors of Pennsylvania and Illinois, the mayors of Detroit, Cleveland and Salt Lake City, and lawmakers. The White House said the … [Read more...] about Biden signs bill to boost U.S. chips, compete with China
- A + A WASHINGTON (Aug 9): President Joe Biden on Tuesday will sign a bill to provide US$52.7 billion in subsidies for US semiconductor production and research and to boost efforts to make the United States more competitive with China's science and technology efforts. The White House is touting investments that chip companies are making even though it remains unclear when the US Commerce Department will write rules for reviewing grant awards and how long it will take to underwrite projects. The chief executives of Micron, Intel, Lockheed Martin, HP and Advanced Micro Devices will attend the signing, set for 10am EDT, as will cabinet officials and auto industry and union leaders, including United Auto Workers President Ray Curry, the White House said. Also attending will be governors of Pennsylvania and Illinois, the mayors of Detroit, Cleveland and Salt Lake City, and lawmakers. The White House said the bill's passage was spurring new chip investments. It noted … [Read more...] about Biden to sign bill to boost US chips, compete with China
Representative image The Reserve Bank of India announced measures to ease forex inflows. This explainer helps us understand the measures and objectives behind them. What are forex inflows and why are they needed? One of the major factors of a country’s growth is higher savings. Savings are channelised into investments, which help drive the growth of an economy. If the domestic savings rate is low or the investment rate is higher than the savings rate, foreign exchange savings can be used to bridge the gap. Foreign exchange savings are nothing but net inflows of foreign capital. The Indian economy was liberalised in 1991 and efforts were made to attract forex inflows. There are various categories of forex such as Foreign Direct Investment (FDI), Foreign Portfolio Investment (FPI), NRI deposits, and External Commercial Borrowings (ECB). The government and the Reserve Bank of India welcome equity flows such as FDI and FPI, but are cautious about debt inflows because heavy … [Read more...] about MC Explains | Will steps to liberalise forex inflows help the rupee?