There are no items in your cart
Our ancestors have gifted us holy books such as Vedas, Upanishads, Mahabharata, Ramayana, Bhagavad Gita, and many more. These holy books are said to have all the answers to every question/problem that humans, animals, plants, and even micro-organisms, on this planet can go through. Our great grandfathers used to study these books in depth to live and lead a soulful life. But today, whenever we have any doubt, we just Google it!
Since the last few decades, the West has had a huge impact on the world. They have completely changed the way we live, eat, dress, communicate, shop, work, travel, entertain, etc. US companies like Google, Amazon, Microsoft, Netflix, Facebook, Dell, Intel, etc. have been huge contributors towards this shift, not only in India but across the world.
No wonder why the US has the largest economy in the world! This is the reason why smart investors like us, must understand how the US stock market affects our Indian stock market.
So, let’s find out…
Rising US Treasury yield indicates an increase in borrowing costs for businesses operating in the US. This discourages businesses to borrow money for their future plans and/or increase their interest expenses. Investors view this negatively as this rise is going to affect the profitability of the businesses which domino into a temporary fall in both the markets.
Global markets are interconnected and hence, we can’t just make an investment decision without understanding the largest economy viz the US. To understand it in the most simplified manner stay tuned to my YouTube channel as I will be covering “Basics of US Stock Market” soon. Until next time, Goodbye!