Latest market obsession - reforms post Presidential elections

Post the announcement that Pranab Mukherjee was standing down as the finance minister, the equity markets again started factoring in "reform initiatives" by the PM. That this would imply the PM's inability to push his senior colleagues to accept  his recommendations vis a vis their ministries, does not seem to bother the markets. In this context, Swaminathan Anklesaria's column

Don’t expect major reforms from Manmohan as FM

is worth a read.

For those interested in the context of the "reforms" initiated by Dr. Singh in 1991, the video below is a must-watch. Though it features the finance minister of the "other" side, it does give a ring side view of what the situation was in those days. When will the market participants learn? Being bullish is great, but ignoring history ensures that errors are repeated

Congratulations President Mukherjee

First, heartiest congratulations to Mr. Pranab Mukherjee on his appointment as the 13th President of India. Compared to the incumbent, whose nomination had raised many an eyebrow given the somewhat less than salubrious past of her immediate family, Mr Mukherjee's accession to the Presidency is likely to be welcomed by most.

 

I visited the website of the new President elect just a few moment ago. The link is below - but since it is likely to get updated (hopefully soon), I have cut and paste a small part of the right column. The election results are updated, so the site is live and the webmaster is awake. However, he seems to see no contradiction on sending a message thanking the electorate for their support - while continuing to request the electorate to vote for the Congress. 

 

Results

Shri Pranab Mukherjee has defeated his opponent by128252votes
We are immensely grateful to all the people who directly & indirectly supported us.

JAI HO INDIA JAYAHE JAN GAN MAN-SUPPORT CONGRESS FOR A STABLE INDIA

I hope that Pranab da will quickly forget that he was a part of the Congress over the past few decades - and accept the role of a President who represents the Constitution - and not some political affiliation. The President's post is meant to be above party affiliations. The President is NOT a member of any party. As chance would have it, one of India's most senior politician now occupies that post.

The Prime Minister's post on the other hand, IS the most important Political post in the executive - and is meant to be held by the most senior politician with the ability to lead his party to power in an election. Here, we have someone who has not won ANY election where the people have voted directly - nor would he have been able to win a party election if one were to be held.  Instead, he holds his position as a nominee. I hope, for the sake of India, that this changes quickly too. Jai Ho.