U.S. Ambassador to India Richard Verma's Statement on the U.S. Presidential Election Results: The results are in. The polls are closed. American voters have voted, and the American people have spoken. With these votes, and with this voice, Americans have elected Donald Trump to be the 45th president of the United States. We are here today, not to celebrate an individual winner, or to side with a particular candidate, but to celebrate the American democratic election process as a whole, to witness that process in action. While there were certainly many firsts in this very eventful and hard-fought election campaign, the end result is the same as it has been before: free and fair elections followed by acceptance and respect for the results. Whether Democrat, Republican, Independent, Red or Blue on the political map, this is something fundamental to our values and to our core as Americans. And it’s something, I’m sure, that can be appreciated by all of us here – from both the oldest democracy in the world, and the largest democracy in the world. The ties that bind our two countries together are built on our shared democratic values, and go beyond the friendship of the American President and the Indian Prime Minister. They go beyond the economic and people-to-people ties. The U.S.-India relationship is vitally important, it is bipartisan, and it is only growing stronger. Here’s to another four years of robust U.S.-India Dosti.
Finally Donald Trump has won the US Presidential election leaving Hillary Clinton far behind. We expect IT, Pharma, export oriented sectors to suffer much and remain under pressure. However, we are also curious to see how he treats world strongest economy. He has been dreaming a lot to do many things for the US economy and for its ppl. Going forward, it’s worth watching the strongest economy move after Trump Victory. We foresee near term pressure in the domestic market but in the longer run India is likely to do better at the cost of China. Information Technology: Since day one Trump has showcased his strong desire to bring back the lost jobs in US. The Indian IT companies have been outsourcing its services to the US companies and earning approximately more than 60% of its $110 bn yearly revenue from the US market only. We foresee after Trump victory we can’t ignore the immediate reduction in H1B visa, hence impacting less business earned by the IT companies going forward. Pharma: Win of either of party was expected to impact pharmaceutical industry in near to short term. Both Hillary and Trump have favored tighter pricing policy in US. We are expecting trump to advocate repelling current obamacare, ultimately putting pressure on the pharmaceutical companies. Export oriented sectors: Trump in his election campaign told regarding bringing down the US Corporate tax from 35% to 15%. If he wins then tax reduction in US could attract the auto and auto ancillary manufacturing companies who have gone out of US. Hence, we can expect some pressure in the manufacturing sector as well.
Mr. Abnish Kumar Sudhanshu Director & Research Head, Amrapali Aadya Trading & Investments
“Global markets have been volatile over last few weeks based on US opinion poll results. Today with Donald Trump’s victory, that uncertainty has gone, however markets will keep tracking any news coming on the policy front from the President-elect. The Indian markets in the last one month have corrected about 5% indicating that Trump’s victory is now discounted and focus will now turn towards Fed policy which is due next month. Though some volatility is expected going ahead, one should not ignore strong domestic consumption story and improving fundamentals. Any further dip should be used to buy quality stocks.”
Mr. Dinesh Thakkar, CMD, Angel Broking
The initial lead of Donald Trump in Us elections has sent overall markets in a tizzy. Now since the lead has been materialized in him winning the elections the market is adjusting itself to changed economics and decisive ways the policies will be implemented. As far as sectors are concerned the major impact will be on IT and Pharma sector. The IT sector is already struggling with reduced IT spending, now the views voiced by Mr. President regarding bringing back the jobs to US again will create more trouble for already nervous sector. Also the pharma sector will see increased scrutiny and policy changes in terms of imports of generic drugs to US. We assume that people will look for safe heavens like Bonds and yellow metal till we see walk the talk from Mr. President.
Mr. Mustafa Nadeem CEO, Epic Research
If we see sector which could be impacted, IT and Pharma has very high exposer to this event. Although IT has no great correlation with S&P 500 but it will definitely impacted because a part of the outsourcing business come from US. As it is going to be Donald Trump presidency it is negative for the IT sector because he is in the camp which is likely bring tightening in outsourcing. On the other hand Pharma is likely to gain because now chances of US drugs price regulation which was in agenda in case of Hillary lead presidency is diminishing.
Mr. Rohit Gadia CEO, CapitalVia Global Research