"Life is pleasant. Death is
peaceful. It's the transition that's troublesome."
- Isaac
Asimov (American, 1920-1992)
Word for the day
Genesis (n)
An origin, creation, or
beginning.
(Source: Dictionary.com)
Malice towards
none
After KM Birla, now Cyrus
Poonawala buys an expensive (Rs725cr) property to live.
What about investing in Make
in India?
Ain't it more Italian or
Greek than American?
Fed hike: Sooner, faster
David Rosenberg, chief economist and strategist at Gluskin Sheff,
highlights, in one of his recent reports,
that the US labor market is on the verge of becoming a sellers' market.
Rosenberg writes—
"The ratio of the unemployed to the level of job openings has
decline to 1.43x, far below the near-7x peak at the worst part of the Great
Recession and a place we have been at just two other times before (since the
JOLTS data were first published.)
This may well be the most accurate measure of just how tight the
labor market is - we are heading to an environment where we are down to one
person competing for one job.
The sands have shifted towards this being a sellers' market for
labour.
Wage acceleration either starts real soon or we can simply take
the laws of supply and demand and throw them in the dustbin."
This essentially means two things:
(a) The wages in US are likely
to begin their northward journey soon; and
(b) the US Fed may begin to
hike soon and complete the task faster than most are expecting.
In an unrelated but still pertinent move the New York State has decided
to raise minimum wage for fast-food workers to US$15. Political observers
expect the move to reverberate in other States also.
The positive demand-supply gap in US labor market combined with
(a) stronger USD; and (b) pressure on export prices due slower European and
Chinese demand may be a good news for Indian technology services outsourcing
companies.
Regardless of Trump's rhetoric, we may actually see relaxation in
H1b quotas in next few years.
Good times may be round the corner for India IT, ITeS, and CRAMS
companies. Just watch out for more competitive devaluation of CNY.
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