UP goes the worries DOWN goes the rating
It was certainly a NEWS when SnP downgraded the Rating of US from AAA to AA+. Something symbolizing like USA loosing its A. What is to be observed next is to see the effect of it on the other economies, specially the growing economies. India amongst them is already showing its reaction (-vely) since friday. Sensex has plunged for the 2 consecutive days.
There is a selling pressure from the Institutional Investors or the FIIs which is creating panic. But its better to hold on the cliff and let the wind of uncertainty pass. In simpler terms I am going to HOLD ON my portfolio and will not give into the selling pressure. I would advise others to do the same.
What I feel personally is that these are just the bubble effect which is going to subsidize very soon. Indian economy is strong enough and self-reliant to absorb the shock that is doing around the globe at the moment.