The United States election is witnessed by thousands as the candidates fight a neck-to-neck competition, between the current White House occupant Donald Trump and the Democratic candidate Joe Biden. As of 5:00 PM IST, Biden is leading with 238 while Trump is at 213. To win the presidency one of them needs 270.
While the battle continues, India is keenly attentive towards the numbers, cause the White House seat will determine India’s fate over certain factors.
Here’s a quick look at why the US elections hold value for Indians, in the country and abroad:
Stock Markets: The volatility of international stock markets is reflected in the fluctuating market indices. This is because domestic election outcomes hold immense power over the policy regimes which directly influence other stock markets.
“There is no doubt that global and US markets will react to the election results. In 2016, there was a decline in the US Market on the result day but over the last five years, it has gained by over 53 per cent in Donald Trump’s tenure. So, today you can expect the markets to be volatile but the picture will be clear in the coming days,” Ajay Bagga, global market expert, said.
The past few months have proven to be tough for the stock market with the COVID-19 crisis lending a huge blow to market performances, any monumental financial changes are unlikely, but the new President’s outlook on the deficit, existing US debt and likely interest rates will send ripples across global equity markets, including India.
Policy changes: In terms of policies, Indians are particularly observing Biden’s take on the H1B visa program. Trump had suspended the same and extended the backlog of green card for Indians. Biden seems to be an Indian supporter and is likely to remodel the H1B quota and green card processes for Indians. Biden has been critical of Indian’s handling of human rights. In totality, there will be continuity with regards to cultivating a deeper strategic, economic and technological partnership between India and the US.
China: “How a second Trump administration or a Biden administration will perceive and approach China and, relatedly, the question of America’s role in the world. The outcome will depend on not just who wins in November, but also the choices that the next American president makes on key personnel and policies,” Tanvi Madan of Brookings Institution stated. US president’s stance on China shall have significant repercussions on Indian foreign policy.
India is watching the election outcome with bated breath as the power dynamics shift in the United States of America. The new political regime shall now forge new bonds and lay the ground for diplomatic ties between the two countries.
