The cloud on horizon is the trade situation and it could have a very material impact. I think it is point in time we are not in a trade war, but we are on the brink of one, said Kevin Sneader, global managing partner at McKinsey & Co.

Share Market Live

NSE

Sneader further added, “On Friday we will find out whether the USD 50 billion of tariffs that America says it will put on Chinese imports happens, we will find out where NAFTA heads in the future, we will find out what happens with the auto industry. If you added all those up, we will certainly be in the middle of a trade war and if that happens, then definitely that will dampen global growth very materially. I am optimistic however that the benefits of trade will outweigh the concerns we see happening today and hopefully we will find a way through this very tense situation that we have at the moment.”

Gautam Kumra, managing partner at McKinsey India said, “My instinct is that people are obviously anticipating what will happen with the elections next year, but by and large the Indian business, at least many of the entrepreneurs that I talked to, remain very optimistic and bullish about the big opportunity in India.”