“Our destiny is in Europe, as part of the community. That is not to say that our future lies only in Europe, but nor does that of France or Spain or, indeed, of any other member. The community is not an end in itself.” – Margaret Thatcher in The Bruges Speech, 1988. It was in the ‘Bruges Speech’ that Margaret Thatcher’s views on Europe were brought to attention. Her speech highlighted five guiding principles; the first being an “active cooperation between independent sovereign states” which she said was the best way to build a successful European Community. The speech had celebrated the individualistic traditions, customs and identities ofRead More →

The anxiety over election uncertainty has sneaked into markets, leaving enough room for a bigger market volatility for this week. The CBOE Volatility Index (.VIX) had already soared 40% from 15.67 on October 28 to 22.15 on November 3, while S&P 500 has lost 2.2% during the same period. On Friday, the S&P 500 index remained low for the longest period since December 1980. The pre- and post-election periods typically have opposite effects on an investor’s optimism. Pre-Election Period Real Clear Politics data shows that even though Clinton leads in most of the polls, the race could be a tight one. Except on 3 occasions sinceRead More →

On August 18, 2016, Donald J. Trump tweeted, “They will soon be calling me Mr. Brexit.” Markets may agree. The uncertainty of November 8 vote may impact markets similar to the EU Referendum, which resulted in the Brexit. The vote to leave the EU went against most economists’ perpetual warnings of a Brexit. The former British Prime Minister, David Cameron, Bank of England and HM Treasury had repeatedly warned Britons that Brexit would raise global economic concerns for the UK. But the unanticipated Brexit result sent markets in a flurry. Loss of confidence sent the pound to its lowest levels since 1985, London equity marketsRead More →

The infamous 2010 Citizens United ruling introduced big money to politics. Through unlimited sums of money during the election campaigns, wealthy donors can sway the votes. But the problem may not be around the unlimited sums of money but the ‘non-disclosure’ part of it. In a 2015 poll, 87% of the respondents wanted to reduce the excessive influence of wealth in politics and put the power of a rich person on par with a common voter. Before 2010, the financing of election campaigns was strictly controlled under the campaign finance law, which restricted corporations and unions from making any kind of donations and limited individuals toRead More →

The Trans-Pacific Partnership (TPP) has been an ongoing trade deal that was finally agreed upon by all the 12 countries. The secret deal connects 12 countries of US, Brunei, Chile, Australia, Singapore, Japan, Mexico, Vietnam, New Zealand, Canada, Malaysia, and Peru. The regional trade deal is already receiving mixed reviews that are focused on the environmental, labor, trade and intellectual property issues  The trade deal establishes international common standards and is likely to be a threat to those countries that have been left out. Some of the non-TPP countries also happen to be large emerging markets like China, India, South Korea and Taiwan. The trade deal was put under ‘fast track’Read More →