WISHING LOVELY WEEKEND. LET’S WALK IN LOVE, WALK THE WAY OF LOVE.

Macro Economic News 26 May 2018

 

Taiwan is losing friends as China’s efforts to isolate the island nation are accelerating, leaving only 18 countries who recognize the country formally known as the Republic of China. The People's Republic of China, meanwhile, got some good news—courtesy of Trump. In just six weeks, Saudi Arabia has gone from advocating higher oil prices to trying to stop the rally at $80 a barrel. American workers are still being paid like it’s the 1980s, thanks to the government’s decades-long failure to update the “prevailing wage” for jobs needed on taxpayer-funded projects. Europe has had enough of Brexit. Leavers hoped to start a continent-wide revolution, but it turns out there are more pressing problems.

 

FINANCIAL TIMES

[I]  Instability in Italy and Spain jolt European markets

[I]  Trump says ‘productive talks’ under way with Pyongyang over summit

[I]  Market turmoil hits Conte’s road to Rome

[I]  Summit’s cancellation damages Korean ‘Moonshine’ diplomacy

[I]  US fears grow over mystery ‘sonic attacks’ against diplomats

[I]  Iran threatens to withdraw from nuclear non-proliferation treaty

[I]  China wants North Korea denuclearisation but at its own pace

[I]  EU finance ministers strike deal to make banks less risky

[I]  UK manufacturers chase deals despite global factory slowdown

 

REUTERS

[I]  Trump: U.S. in 'productive talks' about reinstating June North Korea summit

[I]  Investors find little appetite for consumer staples

[I]  U.S. 'maximum pressure' on North Korea faces test with summit in limbo

[I]  Oil prices slump as OPEC and Russia consider output boost

[I]  India state banks' bailout stumbles as losses mount

[I]  OPEC, Russia prepared to raise oil output under U.S. pressure

[I]  EU states agree rules to make search engines pay for news

[I]  Global Economy: Europe and U.S. lurch closer towards trade war

[I]  Investors find little appetite for consumer staples

 

BLOOMBERG 

[I]  Italy May Be Cut by Moody's on Concerns Over New Government

[I]  Oil Drop Below $80 Vindicates Cautious Investors Trimming Bets

[I]  ECB Officials Aren’t Ruling Out June Meeting to Tweak QE

[I]  Putin Says Oil at $60 Suits Russia With OPEC Weighing More Supply

[I]  Central Bankers Give Their Crisis Policies an Incomplete Grade

[I]  Canada’s ‘Unprecedented’ Reliance on Housing Fuels Recession Call

[I]  S&P 500 ‘Pressure Gauge’ Suggests Relief Rally Still Going

[I]  These U.S. Workers Are Being Paid Like It’s the 1980s

[I]  There’s a Crypto-Mining Machine in Every Home in Caracas

 

WALL STREET JOURNAL

[I]  Business Investment Rebounds in April

[I]  Fed’s Powell Says Central Banks Can’t Take Independence for Granted

[I]  Americans’ Confidence in the Economy Stalls

[I]  U.S. Existing Home Sales Fell in April

[I]  Europe’s Economy Throws a Wrench in the ECB’s Plans

[I]  The Tragedy of Venezuela

[I]  The ‘Tax-Free’ Investment Causing Massive Tax Headaches

[I]  Economists Think the Next U.S. Recession Could Begin in 2020

 

BUSINESS LINE

[I]  Centre diverts coal supplies to state-owned gencos

[I]  India Inc’s debt woes open new career path

[I]  ‘Brexit will change Indo-Dutch trade dynamics’

[I]  Ministers speak in different voices on petrol, diesel price increase

[I]  Positives and negatives of the India story

[I]  Tepid start to kharif planting: rice and cotton acreage lower than last year

[I]  Monsoon enters Bay of Bengal, South Andaman Sea

 

ECONOMIC TIMES

[I]  Earnings to economic growth, crude surge has a shock for all

[I]  Opec, non-Opec discuss around 1 millon bpd oil output rise: Sources

[I]  India Inc to rope in more women for top roles

[I]  Cotton exports could hit 4-year high on price rally, weak rupee

[I]  India's Forex reserve plunge by $2.64 bn

[I]  Economy may have grown by 7.1-7.5% in March quarter

[I]  Indian economy strong, reforms on track: CII

 

BUSINESS STANDARD

[I]  Hint of coal shortage as Centre's supplies start favouring govt power units

[I]  Amid economic slowdown, world's most profitable banks can be found in India

[I]  Dependence on domestic debt aids rupee slide, says Moody's

[I]  Microfinance institutions' equity investments see 40% surge

[I]  Wooing foreign investors: Easing of access norms to boost trading at GIFT

[I]  Rising crude oil price hits India's synthetic yarn industry

Best Regards, ARBIND

26 May 2018

WISH THIS DAY ESTABLISHES LOVING INTIMATE RELATIONSHIP WITH INNER DIVINE SELF

Macro Economic News 25 May 2018

 

Trump calls off his planned summit with Kim Jong Un and the U.S. Justice Department digs into bitcoin. The relief brought by Turkey’s decision to boost interest rates at Wednesday’s emergency meeting didn’t last long, as the lira resumed its nosedive against the dollar despite president Recep Tayyip reiterated his commitment to an open economy. Market analysts in the country, meanwhile, are censoring their reports for fear of losing their jobs after one research chief was fired for publishing speculation Erdogan might have staged a failed 2016 coup.

 

FINANCIAL TIMES

[I]  Trump calls off summit with North Korea’s Kim Jong Un

[I]  Russia and Saudi Arabia to discuss relaxing oil production caps

[I]  US small businesses drop EU customers over new data rule

[I]  US consumer staples plunge as bond yields rise

[I]  US presses Europe for tougher sanctions on Russia

[I]  Donald Trump’s threat on new import tariffs unsettles carmakers

[I]  Trump car tariff threat prompts global condemnation

[I]  North Korea sceptics proved right

[I]  Trumps car tariffs highlight threat of retaliatory trade war

[I]  Iraq’s new government hamstrung by old economic woes

 

REUTERS

[I]  'Trump-style solution'? North Korea says still open to talks after summit cancelled

[I]  Graphic: India's petrol, diesel prices surge to record

[I]  Brazil truckers suspend strike, government to subsidize diesel prices

[I]  IMF to add Islamic finance to market surveillance in 2019

[I]  Ireland votes in "once-in-a-generation" abortion referendum

[I]  Oil prices ease after Russia says it may gradually raise output

[I]  U.S. raises concerns about Vietnam's proposed cybersecurity law

[I]  Trump threat of auto tariffs opposed by auto industry, Republicans

[I]  Tight supply weighs on U.S. home sales; job market strengthening

 

BLOOMBERG 

[I]  How Investors Are Reacting to the Trump-Kim Summit Collapse

[I]  Trump No-Show, Asia Trade-War Impact, End of Aussie Era: Eco Day

[I]  Russia Tightens Grip on Europe's Gas Supply With Gazprom Deal

[I]  Job Security, House-Price Fears Erode U.K. Consumers' Confidence

[I]  British Pork Finds New Market in China as Brexit Looms

[I]  Seven Charts That Show Why Australia’s Housing Boom Is Ending

[I]  U.S. Pump Prices Highest Since 2014 for Memorial Day

[I]  1,000 Cuts to Dodd-Frank: Tracking Trump's Wave of Deregulation

[I]  Trump’s Threat of Auto Tariffs Complicates Nafta Talks

[I]  Probe into Bitcoin Price Manipulation Probably ‘A Good Thing’, Novogratz Says

[I]  Yields at 3% Fail to Entice Some of the Biggest Treasuries Fans

[I]  U.S. Home Values Are Rising at Their Fastest Pace in 12 Years

 

WALL STREET JOURNAL

[I]  U.S. Existing Home Sales Fell in April

[I]  U.S. Jobless Claims Rose to 234,000 Last Week

[I]  Trump Identifies His Trade Weapon of Choice, to the Dismay of Congress

[I]  New Uncertainty for Global Auto Makers

[I]  Europe’s Economy Throws a Wrench in the ECB’s Plans

[I]  Fed Signals June Rate Rise

[I]  Trump Signs Banking Bill, Adding to Regulators’ To-Do List

[I]  Why Student-Loan Delinquency Is Falling

 

BUSINESS LINE

[I]  Coal supply diversion irks industries dependent on captive power plants

[I]  ‘Quality of hiring in India matters, not the numbers’

[I]  Corporate debtors must get shareholders’ approval to initiate insolvency process

[I]  Two-lakh-tonne milk powder stock has private dairy players worried

[I]  Heat and fishing ban push up poultry prices

[I]  Customs duty hike, weak rupee may stop wheat imports

[I]  India Inc’s external borrowing to remain flat in FY19

[I]  United Forum of Bank Unions demands better wage offer

 

ECONOMIC TIMES

[I]  Why the rupee's fate is largely out of the Reserve Bank's control

[I]  US, China bury the hatchet, give soybean so much to cheer

[I]  Oil pinned below $80 a barrel as chances rise of Opec raising output

[I]  FSDC reconstituted to include more members

[I]  Protectionist measures will hit Indo-US trade: Advocacy groups

[I]  Private oil companies all for duty cut to lower prices

[I]  Government raises wheat import duty to 30%

[I]  GDP to grow at 7.5% in FY19; CAD, rupee a worry: Report

[I]  Govt mulls new category to impose import duties on hi-tech products

[I]  Oil prices and US interest rates control rupee's fate

 

BUSINESS STANDARD

[I]  Govt may relax clause that dissuaded foreign firms from taking part in OALP

[I]  Higher crude prices threaten govt's dividend income from oil PSUs

[I]  UP leather industry staring at another stumbling block, gets a 'raw' deal

[I]  SUVs drive at least one-fourth of overall sales for top carmakers

[I]  Homebuyers treatment as financial creditor: Builder loans may get costlier

[I]  Tax-on-tax on petrol, diesel earns states Rs 1.2 trillion in two years

[I]  High prices reignite demand for aviation turbine fuel under GST

[I]  Govt may levy 'windfall tax' on ONGC, OIL to bring down rising fuel prices

[I]  India keen to renew proposed trade deal with European Union

[I]  Home truth: Spike in housing finance companies bad loans hobbles PMAY

 

MARKETS (8:15 am)

[I]  SGX NIFTY Fut: 10510;  USDINR DGCX: 68.2925;  DJIA Mini: 24871;  FTSE 100 Fut: 7748;  NIKKEI 225 Fut: 22457;  EUR-USD: 1.1707; Crude Oil (WTI): 70.59;  Gold (Spot): 1302          

Best Regards, ARBIND

25 May 2018

WISH THIS DAY STARTS WITH CREATING DREAM AND MAKE IT VISIBLE

Macro Economic News 24 May 2018

Federal Reserve officials see another interest-rate increase soon, but held back on any indication of accelerating the pace of hikes. Fed minutes mentions that a temporary period of inflation “modestly above 2 percent would be consistent with the committee's symmetric inflation objective and could be helpful in anchoring longer-run inflation expectations,”. Turkey’s central bank raised interest rates at an emergency meeting bowing to pressure from financial markets after the government’s rejection of higher borrowing costs plunged the nation into a currency crisis. The central bank raised its late liquidity window rate by 300 basis points to 16.5 percent.

 

FINANCIAL TIMES

[I]  The investment case for buying Italian government bonds

[I]  Italian business warns of risk in cutting EU ties

[I]  Australia’s attempt to soothe relations with China in turmoil

[I]  How Britain’s departure from the EU stretches to mid-2020s

[I]  US has more than 5,600 banks. Consolidation is coming

[I]  US banks urged to do more unsecured lending

[I]  EU bankers step up warnings on threat from big tech

 

REUTERS

[I]  India to take 'long-term' view on surging fuel prices

[I]  U.S. launches national security probe of vehicle imports

[I]  Dollar loses steam on Fed minutes, Trump tariffs; euro under pressure

[I]  U.S. seeks to take control of infected routers from hackers

[I]  Global Markets: Asia markets lower on renewed U.S.-China trade concerns

[I]  Trump says will know next week if North Korea summit to go ahead

[I]  ECB set to look through tepid inflation, end QE this year: Reuters poll

[I]  Comcast prepares to top Disney's $50 billion offer for Fox

[I]  India takes U.S. steel tariffs complaint to the WTO

[I]  Euro zone business slowdown suggests best days may be over

[I]  Surprise fall in UK inflation muddies Bank of England rates picture

 

BLOOMBERG 

[I]  Bank of Korea Stands Pat After Disappointing Economic Data

[I]  U.S. Starts Probe to Consider Tariffs on Car, Truck Imports

[I]  Singapore Posts Solid First Quarter Growth on Manufacturing

[I]  Trade Wars: Episode IV, Fed June Hike, Krugman EM Alert: Eco Day

[I]  Brexit Red Tape Will Shrink Irish-U.K. Trade, Central Bank Says

[I]  How the BOJ Crushed Trading in Japan's $10 Trillion Bond Market

[I]  For Asia's New Central Bank Chief, It's Trial by Fire on Day One

[I]  The $100 a Barrel Oil Wager Comes Back to the Options Market

[I]  Why ‘Risk On’ and ‘Risk Off’ Are How the Markets Roll

[I]  Singapore Property Firm Switches Bets from China to Europe

 

WALL STREET JOURNAL

[I]  Fed Minutes Signal June Rate Increase

[I]  Fed Sets May 30 Vote on Proposed Volcker Rule Changes

[I]  Turkey’s Central Bank Lifts Key Rate Amid Lira’s Fall

[I]  Turkish Lira Recovers After Rate Rise

[I]  New Home Sales Post Weak Spring Start

[I]  Eurozone Business Activity Continues to Slow for Fourth Straight Month

[I]  Mexican Economy Picked Up Steam in First Quarter

[I]  Nafta Talks Stalled on U.S. Auto Demands

[I]  Why Student-Loan Delinquency Is Falling

[I]  In Booming Japan, the Phillips Curve Is Dead

[I]  Perks for Plumbers: Hawaiian Vacations, Craft Beer and ‘a Lot of Zen’

 

BUSINESS LINE

[I]  Home buyers to get rights as ‘creditors’ of insolvent firms

[I]  India challenges US tariffs on steel, aluminium at WTO

[I]  Headless wonders: Govt struggles to fill top positions in coal PSUs

[I]  Prime Minister reviews grievance-handling in railways, postal services

[I]  India seeks to revive WTO talks to check biopiracy

[I]  FSSAI moves to make drinking water vending machines safe

[I]  European data protection laws could end up shielding cyber criminals too, fear experts  

 

ECONOMIC TIMES

[I]  Rupee weakens further to 68.42, nearing its all-time low

[I]  US 5-year note sold at highest yield since Sept 2008

[I]  Food ministry moves Cabinet note on sugar buffer stock, minimum ex-mill price

[I]  IG International joins hands with Mr Apple to launch premium variety of apples

[I]  Finmin ties up with e-commerce firms to give loans under PMMY

[I]  Citing discrimination, India drags US to WTO on steel, aluminium tariffs

[I]  India moves one notch up to 44th rank in IMD's competitiveness rankings

[I]  India's billionaire count to rise 3 times by 2027: Report

[I]  Govt may set up elaborate machinery for new industrial policy execution

[I]  Cheapest option for India to boost farmers' income: Pay shortfall

 

BUSINESS STANDARD

[I]  Carmakers in a Catch-22 situation, face bumpy ride to BS-VI roll-out

[I]  Inventus rides on domestic investors for $50 million India-dedicated fund

[I]  Jet Airways slips to Rs 10.40 bn net loss in Q4 FY 2018 on rising costs

[I]  Crude oil price rise could moderate later, suggests Spanish survey

[I]  Strategic, programmed portfolio review process important to divest: Report

[I]  Govt charting long-term plan to tame fuel prices, says Ravi Shankar Prasad

[I]  Cabinet approves ordinance to give homebuyers creditor status under IBC

[I]  Digital gobbles up the business, but banks may not stop adding branches

[I]  After sugar, glut in molasses churns a bitter brew for mills in UP

[I]  Rising prices of newsprint a key concern for Indian and global publishers

 

MARKETS (8:00 am)

[I]  SGX NIFTY Fut: 10460;  USDINR DGCX: 68.3525;  DJIA Mini: 24782;  FTSE 100 Fut: 7765;  NIKKEI 225 Fut: 22437;  EUR-USD: 1.1708; Crude Oil (WTI): 71.68;  Gold (Spot): 1295          

Best Regards, ARBIND

24 May 2018