A WEEKEND TO WALK BEYOND WANE

Macro Economic News 03 Feb 2018

 

Domestic growth across globe is being seen  as encouraging while cross border transaction of goods and services are being questioned implicitly. Local governments are encouraging social welfare programs along with the private institutions focusing on innovation, leaving the sustainability as second priority. The global financial resources are seen being rebalanced with a change in energy demand as well as predicted rise in conventional energy prices. World is also witnessing a start of moving away from easy money regime.

FINANCIAL TIMES

[I]  US bond market sell-off deepens after wage growth surges

[I]  Trump rallies Republicans to war against Russia probe

[I]  Merkel ally says German coalition deal expected within days

[I]  Israel’s ‘supermarkets bill’ tests ultra-orthodox Jews’ influence

[I]  US unveils new nuclear weapons strategy

[I]  British and US migrants flock to New Zealand

[I]  US raises heat on Syria over alleged use of chemical weapons

[I]  Theresa May under fresh pressure to clarify Brexit strategy

[I]  Big brands lose pricing power in battle for consumers

 

REUTERS

[I]  Budget spurs inflation worries

[I]  India lifts export curbs on onions as prices plunge

[I]  Exxon profit misses expectations; sees $5.9 bln tax gain

[I]  With an eye on Russia, U.S. to increase nuclear capabilities

[I]  No progress on 'Dreamers' as another U.S. shutdown looms

[I]  Interest rate angst trips up U.S. equity bull market

[I]  Sustaining economic growth key to India's rating - S&P analyst

[I]  Historic 665-point Dow plunge rocks Wall Street

[I]  RBI not in talks with government on debt purchases - source

[I]  Fed's Yellen says solid economic growth means more rate hikes ahead

[I]  India gold demand picks up after tax announcement

[I]  U.S. hiring accelerates; annual wage growth strongest since 2009

 

BLOOMBERG 

[I]  Traders Are Asking If the Bond and Stock Selloff Is the Start of Something Big

[I]  Junk-Bond Selloff Erodes Investor Optimism

[I]  The Breakneck Rise of China’s Colossus of Electric-Car Batteries

[I]  Big Banks Accept OPEC Was Right as They Embrace Oil Near $80

[I]  Bitcoin Hits 2018 Low as Concerns Mount on Regulation, Viability

[I]  Nouriel Roubini Says Bitcoin 'Much Worse' Than Tulip Mania

[I]  Here’s What Will Separate the Auto Leaders and Laggards in 2018

[I]  The Future of Transportation

[I]  Foreigners to Get Relief on India Gains Despite New Equities Tax

 

BUSINESS LINE

[I]  Centre may consider new framework for angel funds

[I]  Solar gets the chunk of allocation for renewable energy

[I]  ‘Strategic disinvestment will unlock true value of PSUs’

[I]  Under lens, IT glitches that pushed e-way bill off the road

[I]  Make pharmaceutical patents work in the public interest

[I]  Dividend tax on equity funds comes as a surprise

[I]  Telecom regulator wants India to be among top 50 nations in ICT Index

[I]  Water-scarce MP, UP drag down rabi area

 

ECONOMIC TIMES

[I]  Modicare could cost the exchequer Rs 10,000 crore a year

[I]  Govt’s infrastructure projects, social welfare schemes may create 5 million jobs a year

[I]  Sacked staff paid off a lump sum will now have to pay tax on compensation received

[I]  Finances will never be a problem for NHPS

[I]  New procurement mechanism likely before kharif crop

[I]  States set separate dates to implement e-way bill

[I]  Forex reserves surge $3 billion to $417.89 billion

[I]  China's yuan hits its highest since 2015 devaluation, set for 8th winning week

[I]  RBI cancels bids for bond sales worth Rs 11,000 crore

[I]  Farmers may be compensated if market prices fall below MSP

[I]  Retail inflation for industrial workers rises to 4% in December

[I]  Rating agencies question quality of fiscal consolidation, worried over revenue gaps

[I]  High government debt burden constrains India's rating: Fitch

[I]  Govt to roll out health cover scheme from next fiscal: FM

[I]  Fiscal discipline has taken a backseat in budget: US economist

 

BUSINESS STANDARD

[I]  LTCG tax: Higher taxes spark panic among foreign portfolio investors

[I]  Budget 2018: Modi govt uses Finance Bill to extract spending room till 2024

[I]  Black Friday for D-Street: Worst post-Budget market performance since 2009

[I]  Foreign control over Indian banks should be reviewed, says Y V Reddy

[I]  RBI once again cancels Rs 110 bn-worth bond auction as yields shoot up

[I]  Budget 2018 impact: 10% surcharge on customs duty to pinch power sector

[I]  Govt may form experts' panel to ensure farmers benefit from MSP scheme

 

Best Regards, ARBIND

03 Feb 2018

A DAY TO CREATE LOVE AS FOUNDATION OF EVERYTHING
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Macro Economic News 02 Feb 2018

Employment and Factory growth across globe are seen strengthening while nations are extending protection for domestic asset formation and tightening foreign investment rule. While Fed rate is unchanged, amidst the budgetary calculation, money market of India is preparing itself for rate rise. The Indian budget roadmap for next fiscal is paving way for wealth distribution. Economics, Economists and Economic Enthusiasts are in fun mood with other to clear the clutter of confusion and cherish clarity to common people.

 

FINANCIAL TIMES

[I]  Ethiopian regime struggles to quell growing unrest

[I]  Chinese start-ups set sights on car industry

[I]  Chinese investments in UK fail to materialise

[I]  EU to map out membership for 6 western Balkan states

[I]  Economists warn of Trump deficit’s ‘dark trajectory’

[I]  UK weighing customs union deal after Brexit

[I]  Budget sweeteners see India backtrack on financial discipline

[I]  Australia to tighten foreign investment rules amid China concerns

 

REUTERS

[I]  India prioritises rural spending, healthcare in budget

[I]  Budget spurs inflation worries ahead of RBI policy

[I]  India's April-Dec fiscal deficit touches 113.6 percent of full-year target

[I]  Bond yields, euro jump as reflation trade makes a comeback

[I]  U.S. factory activity cools; job market remains strong

[I]  U.S. jobless claims unexpectedly fall as job market strengthens

[I]  German factory growth in January holds near record high - PMI

[I]  Fed leaves rates unchanged, sees inflation rising this year

 

BLOOMBERG 

[I]  North Korea Says U.S. Actions Threaten Inter-Korean Relations

[I]  U.K. Starting Salaries Rise to Highest Since Before Brexit Vote

[I]  How to Wreck the World’s Fastest-Growing Renewables Program

[I]  Here's Why Lenders in the U.A.E. Are Upbeat About Growth in 2018

[I]  India Turns Against Bitcoin But Embraces Blockchain

[I]  Bank of Japan Is Missing a Big Opportunity

[I]  Asian Bond Outlook Remains Positive in 2018

[I]  Greenspan Says U.S. Needs to Confront Budget Deficit

[I]  Electric Buses Will Take Over Half the World Fleet by 2025

[I]  The U.S. Poses a Bigger Danger Than China to Asia’s Markets

[I]  Company Tax Cut by India Falls Short of Narrowing Gap With Peers

[I]  India to Propose Long-Term Capital Gains Tax on Equities

 

BUSINESS LINE

[I]  Boost to rural economy, MSMEs good for earnings growth cycle

[I]  Ghost of LTCG back on Dalal Street

[I]  Up, down, back up: Budget has indices confused

[I]  Govt to merge 3 general insurance companies

[I]  Missing in action: Banking reforms

[I]  Airports set to move 1 billion passengers a year

[I]  Operation Greens to power up the supply chain

 

ECONOMIC TIMES

[I]  Budget 2018 at a glance: From affordable housing fund to new liquidity tool

[I]  Budget 2018 impact: Short-term jitters over long-term tax

[I]  Tax treaty shopping to restart as FPIs could move base to France or Netherlands

[I]  Mumbai corporates miffed with Budget, question fiscal maths

[I]  Corporate sector left high and dry but MSME get the boost

[I]  Budget 2018: Cheer for farmers

[I]  Agricultural credit target for FY'19 up 10% to Rs 11 lakh crore

[I]  Centre ready to share burden of states' kisan welfare plans

[I]  Budget 2018: India seeks to expand its bond market beyond traditional ambit of sovereign debt

[I]  Budget 2018: Balancing populism with economics

[I]  Government lowers market borrowing to Rs 4.07 lakh crore for FY19

[I]  For every Re in govt kitty, 19 paise to come from borrowing

[I]  Manufacturing growth slips to 3-month low in January: Survey

[I]  Business conditions improve, but at slower pace in January

[I]  Key Highlights from Budget 2018: Income tax rates unchanged, 10 per cent LTCG tax introduced

 

BUSINESS STANDARD

[I]  Budget 2018: Cheers for 'Bharat', some LTCG tax overhang for markets

[I]  GST will save us in FY19; fiscal slippage is mostly statistical: Jaitley

[I]  Budget 2018: Of too many 'poors', pakodas and yellow lawmakers

[I]  GST hurdle: On Day 1 of rollout, govt puts e-way bill on back burner

[I]  Bond dealers and economists give thumbs down to 'inflationary' Budget

[I]  Positive, negative and neutral: Three major changes in Budget 2018

[I]  From blockchain to Wi-Fi: Digital India scheme gets fund boost in Budget

[I]  Budget 2018: In absence of fiscal space, PSUs to bear the burden of capex

[I]  Budget: Fiscal slippage a concern; health expenditure to up by less than 6%

[I]  Jaitley gives Defence budget 8% increase, unlikely to cover rise in cost

 

MARKETS (07:00 am)

[I]  SGX NIFTY Fut: 10914;  USDINR DGCX: 64.3300;  DJIA Mini: 26073;  FTSE 100 Fut: 7420;  NIKKEI 225 Fut: 23216;  EUR-USD: 1.2499; Crude Oil (WTI): 66.05;  Gold (Spot): 1348

Best Regards, ARBIND

02 Feb 2018