Morning News Call - India, July 7
To access a PDF version of this newsletter, please click here Link
If you would like to receive this newsletter via email, please register at: Link
FACTORS TO WATCH
• No major events are scheduled for the day.
INDIA TOP NEWS
• India central bank acts to enhance foreign fund inflows, stabilise rupee
India's central bank took a slew of measures on Wednesday to boost foreign exchange inflows, including allowing overseas investors to buy short-term corporate debt and opening of more government securities under the fully accessible route.
• India's cryptocurrency industry reels as new tax hammers trading
India's new cryptocurrency tax has dealt a heavy blow to the country's crypto exchanges, adding to broader sectoral woes and sending trading volumes plunging by up to 90%.
• India's aviation watchdog pulls up SpiceJet over safety lapses
India's aviation regulator has issued a warning notice to SpiceJet after a review of recent incidents by the watchdog showed "poor internal safety oversight and inadequate maintenance actions" by the airline.
• Reliance to bring Gap to India in latest retail bet
Reliance, India's largest retailer, said on Wednesday it has partnered with Gap to sell the U.S. clothing retailer's brands locally, marking its latest expansion in the booming consumer market.
• India's export curbs, tax hike to exacerbate global diesel, gasoline shortage
India's latest measures aimed at boosting domestic oil supplies could reduce its diesel and gasoline exports in the second half of the year, keeping global supplies tight and underpinning prices, traders and analysts said.
• India's July palm oil imports may surge to 10-month high as prices plunge
India's palm oil imports in July are set to jump to the highest in 10 months because of a hefty correction in prices and as Indonesia allows more exports of the tropical oil, four dealers told Reuters.
• India's restaurants slam new rules against compulsory service charge
Thousands of restaurants in India are objecting to recent government guidelines that prevent them from automatically levying a service charge on bills, saying it is not illegal and that the move will hurt the livelihood of millions of employees.
GLOBAL TOP NEWS
• Fed's fear of entrenched high inflation fueled big rate hike, minutes show
A deteriorating inflation situation and concern about lost faith in the Federal Reserve's power to make it better prompted U.S. central bank officials to rally around an outsized interest rate increase and a firm restatement of their intent to get prices under control, minutes of the June 14-15 policy meeting showed.
• Boris Johnson 'up for a fight' as clamour to quit grows
British Prime Minister Boris Johnson defied pressure to quit on Wednesday from senior ministers and a mounting rebellion within his ruling Conservative Party, saying he will fight off any attempts to oust him over a series of scandals.
• Chips drive highest Samsung Q2 profit since 2018, but demand cooling
South Korea's Samsung Electronics turned in its best April-June profit since 2018, underpinned by strong sales of memory chips to server customers even as demand from inflation-hit smartphone makers cools.
LOCAL MARKETS OUTLOOK
• SGX Nifty nearest-month futures were trading 0.84% higher at 16,116.
• Wall Street put a seesaw day behind it to close higher on Wednesday, as investors digested new clues on the U.S. central bank's approach to rate policy and its inflation fight detailed in the minutes from the latest Federal Reserve meeting.
• Japanese shares rose, as investors continued to buy beaten-down technology stocks, with sentiment underpinned by Wall Street's overnight gains.
• The euro hovered near a two-decade low against the dollar as Europe's energy woes cast a long shadow over the economic outlook.
• Benchmark U.S. Treasury yields edged higher on Wednesday but had a relatively muted reaction after minutes from the Federal Reserve's June meeting showed that a deteriorating inflation situation prompted Fed officials to rally around an outsized interest rate increase.
• Brent crude futures extended declines for a third session, slipping under $100 a barrel, as fears of a potential global recession spurred concerns about oil demand.
• Gold prices edged up from nine-month lows touched in the previous session, after the dollar paused its rally, alleviating pressure on greenback-priced bullion.
FII INVESTMENTS EQUITIES
DEBT PNDF spot
79.03/79.05 July 6
237.13 crores 10-yr bond yield 7.294%
(2,19,777) crores (15,243) crores
(FII investment numbers are in Indian rupees. Source: National Securities Depository Limited)
For additional data:
India govt bond market volumes
Stock market reports
Non-deliverable forwards data
Corporate debt stories
Local market closing/intraday levels [IN SNAPSHOT]
[INFLOWS RTRS TABLE IN]
($1 = 79.02 Indian rupees) (Compiled by Paulose Joseph)
Disclaimer: Ang mga kabilang sa XM Group ay nagbibigay lang ng serbisyo sa pagpapatupad at pag-access sa aming Online Trading Facility, kung saan pinapahintulutan nito ang pagtingin at/o paggamit sa nilalaman na makikita sa website o sa pamamagitan nito, at walang layuning palitan o palawigin ito, at hindi din ito papalitan o papalawigin. Ang naturang pag-access at paggamit ay palaging alinsunod sa: (i) Mga Tuntunin at Kundisyon; (ii) Mga Babala sa Risk; at (iii) Kabuuang Disclaimer. Kaya naman ang naturang nilalaman ay ituturing na pangkalahatang impormasyon lamang. Mangyaring isaalang-alang na ang mga nilalaman ng aming Online Trading Facility ay hindi paglikom, o alok, para magsagawa ng anumang transaksyon sa mga pinansyal na market. Ang pag-trade sa alinmang pinansyal na market ay nagtataglay ng mataas na lebel ng risk sa iyong kapital.
Lahat ng materyales na nakalathala sa aming Online Trading Facility ay nakalaan para sa layuning edukasyonal/pang-impormasyon lamang at hindi naglalaman – at hindi dapat ituring bilang naglalaman – ng payo at rekomendasyon na pangpinansyal, tungkol sa buwis sa pag-i-invest, o pang-trade, o tala ng aming presyo sa pag-trade, o alok para sa, o paglikom ng, transaksyon sa alinmang pinansyal na instrument o hindi ginustong pinansyal na promosyon.
Sa anumang nilalaman na galing sa ikatlong partido, pati na ang mga nilalaman na inihanda ng XM, ang mga naturang opinyon, balita, pananaliksik, pag-analisa, presyo, ibang impormasyon o link sa ibang mga site na makikita sa website na ito ay ibibigay tulad ng nandoon, bilang pangkalahatang komentaryo sa market at hindi ito nagtataglay ng payo sa pag-i-invest. Kung ang alinmang nilalaman nito ay itinuring bilang pananaliksik sa pag-i-invest, kailangan mong isaalang-alang at tanggapin na hindi ito inilaan at inihanda alinsunod sa mga legal na pangangailangan na idinisenyo para maisulong ang pagsasarili ng pananaliksik sa pag-i-invest, at dahil dito ituturing ito na komunikasyon sa marketing sa ilalim ng mga kaugnay na batas at regulasyon. Mangyaring siguruhin na nabasa at naintindihan mo ang aming Notipikasyon sa Hindi Independyenteng Pananaliksik sa Pag-i-invest at Babala sa Risk na may kinalaman sa impormasyong nakalagay sa itaas, na maa-access dito.