THE BEST DAY HAS COME. IT’S TODAY, COINCIDENTLY A WEEKEND TOO. WISHING A WONDERFUL WEEKEND.

Macro Economic News 05 Jan 2019

 

FED sought to ease market concerns that the U.S. central bank was ignoring signs of an economic slowdown, saying he was aware of the risks and would be patient and flexible in policy decisions this year. FED also laid the groundwork to take a break from raising short-term interest rates in coming months, propelling stock prices already cheered by a stronger-than-expected December jobs report. Euro zone inflation turned eight months low following ECB cap on stimulus. China central bank cut reserve requirement ratio by 100 bps as economy slows.

 

FINANCIAL TIMES

[I]  Powell stokes market rally with promise of ‘patience’

[I]  Migration is not a state of mind

[I]  China and US officials to hold trade talks

[I]  China to cut bank reserves by $117bn in stimulus measure

[I]  French December slowdown worse than initially thought — PMI

[I]  China puts potatoes at centre of war on rural poverty

[I]  Economy Energy barred from taking on new customers

 

REUTERS

[I]  Trump says China woes help U.S. in trade talks, downplays Apple warning

[I]  Mexico urges regional bloc not to meddle in Venezuela

[I]  UK shops' December sales fall for sixth straight year - BDO survey

[I]  Upbeat employment report underscores U.S. economic strength

[I]  U.S. shutdown talks falter, Trump threatens emergency powers

[I]  Powell tells markets Fed is flexible and aware of risks 

 

BLOOMBERG 

[I]  World's Riskiest Assets Suddenly Seem a Whole Lot More Appealing

[I]  Retired General Warns Against Letting China Dominate 5G Networks

[I]  Trump Credits His ‘Talent’ for Gas Price Drop, Suggests OPEC Monopoly

[I]  Powell’s Tune Changed as Markets Melted Down

[I]  Standout Job Report Shows U.S. Economy Stronger Than Thought

[I]  Gold Rally Is Put on Hold After ‘Monster’ U.S. Payrolls Gain

[I]  Investors Weigh In on Jobs Data: Fed Is in a ‘Tough Position’

 

WALL STREET JOURNAL

[I]  U.S. Employers Added 312,000 in December as Wages Jump

[I]  Despite Jobs Report, Fed Likely Won’t Feel More Urgency to Raise Rates

[I]  How the Job Market of 2018 Stacks Up

[I]  Fed Chairman Powell Sees Flexibility on Rates This Year

[I]  Trump Considers Declaring Emergency to Build Wall

[I]  More First-Time Home Buyers Turn to Bank of Mom and Dad

 

BUSINESS LINE

[I]  Sob story: It’s buy-one-get-one for onions in Maharashtra

[I]  Hit by NPAs and RBI action, PSBs losing ground to private sector peers

[I]  ‘India can be a start-up superpower in five years’

[I]  I&B Ministry looks to impose stricter penalties to combat film piracy

[I]  Judicial reforms are imperative for sustained 8% GDP growth rate

[I]  Gearing up for tough bouts in an uncertain market

 

ECONOMIC TIMES

[I]  No one is allowed to opt out of Aadhaar: Govt

[I]  9% of education loans by PSBs went kaput in FY'18

[I]  US stocks surge on strong US jobs report, trade optimism

[I]  Forex reserve rises by $116.4 million to $393.404 billion

[I]  RBI to meet foreign investors over waning interest in corporate bonds

[I]  Potato acreage rises due to higher farmer's remuneration, cheaper seed

[I]  India’s sugar production up by 6.7% till December 31

[I]  Government mops up Rs 6.12 lakh crore indirect taxes in April-November, target for FY'19 at Rs 11.16 lakh crore

 

BUSINESS STANDARD

[I]  India's handset industry may go past the 300-mn unit mark in 2019

[I]  No liability if PPI customers report fraud within three days, says RBI

[I]  CBDT chief cautions I-T officials about direct tax collection growth rate

[I]  Transmission and distribution firms expect higher orders from new govts

[I]  E-commerce majors may seek extension of Feb 1 deadline for new FDI norms

[I]  Drought hits rabi acreage of pulses, coarse cereals; sowing falls by 3.41%

[I]  India's services PMI dips to 53.2 in December, but firms step up hiring

 

Best Regards, ARBIND

05 Jan 2019

KINDNESS IS A WONDERFUL WAY TO LET KNOW THE STRUGGLING SOUL ABOUT EXISTENCE OF LOVE. WISHING A LOVELY DAY AHEAD.

Macro Economic News 04 Jan 2019

 

A parliamentary panel asked the RBI to ease its rules on capital requirements for banks so that they can increase lending. OPEC sends fewest oil cargoes to United States in at least five years. A gauge of U.S. manufacturing plunged by the most since the 2008 recession a day after Apple cut its revenue outlook, fueling concern that the trade war with China is taking a bigger-than-expected toll on economic growth. U.K. consumer confidence fell to the lowest since 2013 last month as escalating Brexit concerns continued to weigh on sentiment. Asia is finally succumbing to the global property slowdown that’s jolted homeowners and investors from Vancouver to London, with markets in Singapore, Hong Kong and Australia showing fresh signs of softening. The economic ramifications could be serious.

 

FINANCIAL TIMES

[I]  Apple warning bell triggers fears for global economy

[I]  Top CEOs earn typical annual wage in 61 hours

[I]  Great leap forward for China with Moon landing

[I]  Taiwan turns to India to escape China dependence

[I]  US warns citizens about travel to China

[I]  US car sales defied predictions of a slowdown in 2018 

[I]  State-owned German banks end merger talks

[I]  Europe urgently needs stronger banks

 

REUTERS

[I]  Poor U.S. data, Apple warning spook global markets

[I]  Oil drops on concerns of economic downturn, but OPEC cuts support

[I]  Japan December manufacturing PMI lifted by best output growth in eight months

[I]  Most of UK PM May's Conservative Party members oppose her Brexit deal - survey

[I]  China shoppers, stung by slowdown, take bite out of Apple

[I]  Parliamentary panel asks RBI to ease bank capital requirements

 

BLOOMBERG 

[I]  Japan Stocks Plunge on Their First Trading Day of 2019

[I]  British CEOs Will Earn as Much as a Typical Worker Makes in a Year by Lunchtime

[I]  Don't Be Fooled: The U.S. Auto Sales Party Is Coming to an End

[I]  Property Markets From Hong Kong to Sydney Join Global Slump

[I]  Market Earnings Angst Goes Beyond Apple With Outlooks Darkening

[I]  The Bad Economic News That Used to Be Good Is Just Bad Right Now

[I]  Orange Is the New Red as 2019 Kicks Off With Juice Prices at Fresh Low

[I]  Aggressive Change in Market’s Fed Outlook Drives Inversions in Yield Curve

[I]  India’s Path to Become World’s Fifth-Biggest Economy Won’t Be Easy

 

WALL STREET JOURNAL

[I]  U.S. Factory Activity Decelerates Sharply Amid Global Slowdown

[I]  Hassett Warns Other Firms Could Join Apple in Seeing Weaker Sales

[I]  Jobless Claims Increased Last Week

[I]  U.S. Private Sector Adds 271,000 New Jobs in December

[I]  Inflation Was a Bad Bet Last Year

[I]  Fed’s Kaplan Says It’s Time to Hold Off on Interest-Rate Rises

[I]  Chinese Consumers Curb Spending, Likely Deepening Slowdown

[I]  The World Is Getting Quietly, Relentlessly Better

[I]  As Brexit Date Approaches, EU Workers Kiss Goodbye to U.K. in Record Numbers

 

BUSINESS LINE

[I]  Govt may not proceed with draft pharmaceutical policy

[I]  House panel suggests time-bound settlement for victims of unregulated deposit schemes

[I]  E-comm policy scrambles online market for phones

[I]  Centre not to conduct auctions for commercial coal mining till elections

[I]  Car-makers expect sales to rebound in Q4, but analysts cautious on outlook

[I]  Global cotton prices set to soften on dip in offtake

[I]  Slowdown in NBFC sector likely to continue for a few more quarters

 

ECONOMIC TIMES

[I]  Turkish lira in deep trouble after another crash

[I]  Most Asian currencies weaken as growth fears set off 'flash crash'

[I]  RBI scales down printing of Rs 2000 note to minimum: Govt source

[I]  Govt considering steps to prevent misuse of gift route to import goods

[I]  India not to impose anti-dumping duty on coated paper imported from China, EU, US

[I]  NCLT helped creditors recover Rs 80k crore: FM Arun Jaitley

[I]  E-commerce rules do not allow foreign investment in multi-brand retail: DIPP

 

BUSINESS STANDARD

[I]  Pace of revenue expenditure slows as fiscal deficit target looms

[I]  Govt does U-turn in policy, says e-commerce firms can sell private labels

[I]  Airlines' 8% fare hike comes a cropper as Indians refuse to pay more to fly

[I]  Disbursement by HFCs, NBFCs to slow down in H2FY19, says Icra

[I]  Now, 20-day earned leave every year for central govt employees a must

[I]  Proposed changes to IT Act unlikely to solve core issues: Experts

[I]  Rural push needed for bank branches, ATMs and business correspondents

[I]  Domestic IT spend to grow 11.9% to Rs 2.59 trillion in 2019, says report

 

MARKETS (07:00 am)

[I]  SGX NIFTY Fut: 10697;  USDINR DGCX: 70.2500;  DJIA Mini: 22592;  FTSE 100 Fut: 6622;  NIKKEI 225 Fut: 19258;  EUR-USD: 1.1407; Crude Oil (WTI): 46.75;  Gold (Spot): 1298

 

Best Regards, ARBIND

04 Jan 2019

YOUR SMILE BRINGS HAPPINESS UPTO THREE NODES OF FRIENDS WHILE ENTIRE WORLD IS CONNECTED WITHIN SEVEN NODES OF FRIENDSHIP. WISHING A SMILING DAY AHEAD.  

Macro Economic News 03 Jan 2019

The U.S. has granted 75% of requests so far to exclude steel imports from tariffs that took effect in March, a Wall Street Journal analysis found—covering about 16% of the finished foreign steel entering the U.S. The stock market is sliding, interest rates are rising and trade tensions continue.

 

FINANCIAL TIMES

[I]  EU eyes tougher scrutiny of China cyber security risks

[I]  ECB appoints administrators to Banca Carige

[I]  Trump and Democrats fail to reach funding breakthrough

[I]  Factories in Brexit Britain boosted as stockpiling surges

[I]  China factory sector contracts as growth slows

[I]  Indian small businesses wooed ahead of elections

[I]  Japan risks creating ‘immigration problem’

[I]  Russia’s business elite seeks to play down Putin links

 

REUTERS

[I]  Cabinet approves merger of three state-owned banks 

[I]  Cabinet approves incentives for exporters of select goods 

[I]  Australian dollar left bloody after computer-driven crash

[I]  No progress towards ending U.S. shutdown in Trump meeting with lawmakers

[I]  Brexit poses risk, but German economy poised for further growth: minister

[I]  UK services growth drops to two-year low in fourth-quarter in Brexit 'stasis': BCC

[I]  North Korea warns of 'new path', but options limited

[I]  UK factories build up stockpiles before Brexit, boosting PMI

[I]  Euro zone factories ended 2018 on a low note - PMI

 

BLOOMBERG 

[I]  Sharp Drop in Australian Home Values Raises a Red Flag

[I]  ‘Flash-Crash’ Moves Hit Currency Markets

[I]  Markets Keep Flashing Recession Warnings

[I]  Key Fed Yield Gauge Points to Rate Cuts for First Time Since 2008

[I]  Here's What Most Americans Agree Will Happen in 2019

[I]  Venezuela Oil Exports Slump to a 28-Year Low

 

WALL STREET JOURNAL

[I]  As Government Shutdown Continues, Workers’ Worries—and Bills—Grow

[I]  What Is and Isn’t Affected by the Shutdown

[I]  Tariff Exclusions for Certain Steel Imports Sow Confusion

[I]  The World Is Getting Quietly, Relentlessly Better

[I]  Economy Takes Focus in Second Half of Trump Presidency

[I]  In a Shutdown, IRS Will Take Your Money, but Give No Refunds

[I]  China Is Getting Bubbles, Not Growth, for New Year’s

 

BUSINESS LINE

[I]  Govt introduces Aadhaar amendment Bill in Lok Sabha

[I]  Interest rate subsidy scheme extended to merchant exporters

[I]  GST Council meet may consider rate rationalisation on housing

[I]  Trade unions law to be amended to bring transparency in representation

[I]  Liquidity crunch, higher insurance costs impact two-wheeler sales in Dec

[I]  Weak global prices, poor crop to push cotton imports by 80%

[I]  ‘Intense’ western disturbance to bring rain, snow to North; North-East monsoon ends

[I]  ICRA sees MSMEs rushing to opt for loan-rejig option allowed by RBI

 

ECONOMIC TIMES

[I]  Guess what's next on cards for mobile wallet companies in India

[I]  Here is good news for Indians in US

[I]  SME IPOs make a mark in 2018; record Rs 2,455 crore garnered

[I]  Most Asian currencies decline as factory activity fizzles

[I]  Direct tax-GDP ratio of 5.98% during FY18 best in 10 years: Finance Ministry

[I]  Manufacturing activity slows in December, PMI at 53.2

[I]  Relief for companies facing tax outgo over valuation premiums as government issues clarification

 

BUSINESS STANDARD

[I]  Fuel price slide leads to confusion over margin maths of oil marketing cos

[I]  Investments in 2018: A snapshot of PE activity, deals in 7 charts

[I]  Early-stage funding for start-ups falls 15% to $148 million in 2018

[I]  A fifth of recently listed SMEs see sharp fall in revenue growth after IPO

[I]  Higher digital spends likely to boost IT budgets in 2019, say experts

[I]  Union Cabinet approves proposed amendment to The Trade Unions Act

[I]  RBI MSME loan restructuring plan to help borrowers, state-owned banks

[I]  Cabinet committee clears continuation of umbrella scheme for family welfare

[I]  Merchant exporters to get easier credit under interest equalisation scheme

[I]  Aadhaar Act amended to bar private entities from storing individuals' data

 

MARKETS (08:00 am)

[I]  SGX NIFTY Fut: 10862;  USDINR DGCX: 70.2300;  DJIA Mini: 23068;  FTSE 100 Fut: 6653;  NIKKEI 225 Fut: 19900;  EUR-USD: 1.1358; Crude Oil (WTI): 45.84;  Gold (Spot): 1289

 

Best Regards, ARBIND

03 Jan 2019