NEW DELHI: From fighting immigrant ‘work abuse’ issues to punishing US companies for setting up factories in Mexico and China , to raising question over the one-China policy and, not to forget, the ‘frank’ chat with Pakistan Prime Minister Nawaz Sharif , US President-elect Donald Trump has made plenty of noise even before he assumes the Oval Office on January 20. Market watchers say these developments have guaranteed one thing: Trump will keep global financial markets on the edge.Going by the minutes of the US Fed’s last rate-setting meeting, even US policymakers remain unsure as to what the President-elect and his administration is really up to. India watchers insist Trump policies may not be that bad for India after all.India is among top five Asian countries with which the US runs a trade deficit of $492 billion; the others being China, Japan, Korea and Malaysia.Brokerage Morgan Stanley noted that India ranks fourth and it has little share in the top six sectors in which the US runs a huge trade deficit.They are telecom, computer and related parts, passenger cars, toys and games, auto component and electric equipment.“The US primarily runs a deficit in medicaments, precious stones, as well as apparel and textile-related products against India,” Morgan Stanley said in a note.For Indian stocks , a direct impact could be on the IT stocks, which have significant weight in the equity benchmarks, Sensex and Nifty50.“The IT sector would be impacted immediately, if anything happens on the visa side. Pharma companies are driven more by USFDA regulations , and we have seen that the regulator has been very active, inspecting and issuing 483s. So, one needs to watch the IT counter carefully. Whether the rhetoric actually turns into reality and whether the government actually goes on to pass something not so good for the IT sector, that’s what will determine the fate of these stocks,” said Pankaj Tibrewal, SVP & Fund Manager for Equities, Kotak Mutual Fund “On the pharma side, we are almost nearing the end of the USFDA inspection cycle. Probably over the next six to 12 months, we may get a good opportunity to buy some of good pharma names,” Tibrewal said.Prateek Agarwal, Business Head & CIO at ASK Investment Managers, said as India is a big ally of the US vis-à-vis in the past, the domestic stock market tends to get concerned quickly.“Some of the concerns about Trump policies should ease with the passage of time,” Agarwal said.Teresa C Barger, Co-founder and senior MD at Cartica Capital, believes Trump will probably select growth over employment. Any rebound in the US economy would call for faster-than-expected rate hikes by the US Fed, which could be a negative for the Indian market.Ace investor Rakesh Jhunjhunwala believes hopes of fiscal expansion by a Donald Trump administration are too farfetched.“The stock market’s memory is very short. Trump will make a budget up to July. Thereon, his team will plan the projects. All the expenditure is going to happen after one-and-a-half years,” Jhunjhunwala pointed out.