ββ#ForexChief #Bloomberg #forexnews #GDP #worldnews #BankOfEngland #MSCIEmergingMarketsIndex β
π° New India or is it worth investing in miraclesβ
β οΈ In the last three months of 2022, the former colony overtook the UK to become the fifth largest economy in the world in terms of GDP. London's loss of status in international ratings becomes an additional negative for the new prime minister.
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The calculation was carried out using the IMF database and historical exchange rates in the Bloomberg terminal: for the 1st quarter, the Β«nominal valueΒ» of the Indian economy amounted to $854.7 billion, and the British β $816 billion.
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The cost of living in the UK is rising at a shocking rate. The new government will have to work with the highest inflation in 40 years and claims of a recession, which, according to the Bank of England, could last until 2024.
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UK GDP in the 2nd quarter grew by only 1%, and after adjusting for inflation, it declined by another 0.1%. In addition, the pound fell 8% against the Indian currency.
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On the contrary, the Indian economy is projected to show growth of at least 7% this year. The economic phenomenon in India can be partly explained by the post-COVID effect, which resulted in statistical GDP growth of 13.5%, strong supplies of raw materials and industrial resources from Russia, and the success of the agricultural sector.
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The country has yet to overcome agrarian stereotypes and become a high-tech leader. How the Indian authorities will do this is still unclear. All India's successes inevitably provoke an economic and geopolitical confrontation with China for leadership in the region.
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The unprecedented bull run in Indian equities has already pushed them to second place in the MSCI Emerging Markets Index, behind only Chinese equities. India's economic indicators are not yet stable, but those who love quick profits should already look closely at its assets in the industrial and commodity sectors.
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Profits to yβall!