Updated: Oct 7, 2018
The Rupee has seen a “lifetime low” of 74 against the dollar
The Sensex fell by 806 points on the 4th of October, 2018 followed by another fall by 792 points on Friday the 5th October, led by the decline in energy points.
Meanwhile, on this Friday, the New Delhi and Russia signed their biggest Defence deal in over two decades.
India could soon be faced with the threat of US sanctions following a controversial $5 billion weapons deal with Russia
And so apart from the defense deal, India and Russia have called for an introduction of the Rupee Ruble trade as a strategy strengthen bilateral trade. Another area to boost ties will be diamonds, where India will cut and polish Russian Diamonds
India is also attempting to start a barter oil deal with strife-torn Venezuela.
The backdrop of all of this is the Trade wars that the USA is waging against China and the impending USA trade sanctions against Iran which could adversely affect India since we import oil from there. And not to forget, India might also see US trade sanctions because of the Russian defense deal. Washington must be weighing all its options. Let us see what happens. The bear hug and large Indian Economy might help now!
This is a very brief short of what it’s like to stay in a VUCA ( Volatile, Uncertain, Complex and ambiguous ) world.
There is a different kind of war going on in the world these days, and it’s not only soldiers at battlefronts who fight anymore but you and me too. Rising fuel prices will pull up the prices of everything we consume, our students studying abroad will have to work harder to pay off more expensive study loans, threat of US sanctions against India for signing a defense deal with Russia will lead to so much uncertainty that we could see a huge amount of capital outflow from India . Industry sentiment downgraded, jobs too will be negatively impacted.
And we factor in the uncertainty over the No Deal Brexit, it is certainly a worrisome situation. Many European Banks are talking of a big financial recession, impacting all parts of the world.
As many Indian’s are waiting to welcome the divine Goddess, there is already a bloodbath on the Sensex. Remember the demon Raktabeej? Every time a drop of blood spilled from Raktabeej’s body, many more similar demons would spring up, ready to fight.
Global issues have reached such a level of complexity and all of us are getting impacted.
This article cannot be concluded by mere mortals like me.
Acchae Din ???? Anybody
Aam Admi ????? Anybody