MACRO ECONOMIC NEWS

LIFE IS A JOURNEY FROM MYSELF TO SELF - THE PUREST FORM OF LOVE. WISHING AN AFFECTIONATE DAY AHEAD.

Macro Economic News 30 Jul 2019

 

The State Bank of India (SBI) cut interest rates on deposits across all maturities. SBI has tightened lending terms dramatically for auto dealerships, seeking to reduce its exposure to risk from a sector in the midst of a sharp downturn. More than 36% of registered companies have 'closed' down in India. Japan cuts GDP forecast as exports growth expected to slow. The British pound touched its lowest level in over two years against the dollar after Prime Minister Boris Johnson said a hard divorce from the EU was in the cards. U.S. central bankers are expected to lower borrowing costs this week for the first time since the depths of the financial crisis more than a decade ago. Negotiators for the U.S. and China will face off in Shanghai this week in another attempt to piece together a trade accord. Borrowing by the federal government is set to top $1 trillion for the second year in a row as higher spending outpaces revenue growth.

 

FINANCIAL TIMES

[I]  Beijing cranks up level of condemnation of HK protests

[I]  Pound at 2-yr low as fears grow over no-deal Brexit

[I]  Rise in extremist violence puts Germans on edge

[I]  Japan cuts GDP forecast as exports growth expected to slow

[I]  EU ‘protected’ from no-deal Brexit, Brussels insists

 

REUTERS

[I]  SBI tightens lending terms for auto dealers

[I]  India's tax rise for high earners may trigger fund flight: ex-RBI governor

[I]  India bond yields fall as finance minister backs rate cuts, reaffirms foreign bond issue plan

[I]  Japan factory output slumps in June as trade war bites

[I]  Mexico unveils $25 billion stimulus package for flagging economy

[I]  A Fed interest rate cut is in the bag. What then?

[I]  How the U.S. economy stacks up to past rate cut cycles

[I]  Global Markets: Sterling slumps on 'no-deal Brexit' worries; stocks dip

[I]  SBI cuts deposit rates, keeps lending rates unchanged

[I]  A Fed interest rate cut is in the bag. What then?

[I]  BOJ faces test in keeping up with dovish-leaning U.S., European peers

 

BLOOMBERG 

[I]  Global Weather Chaos Is Also Shriveling Asia’s Crop Production

[I]  Hong Kong Stocks Succumb to Protests With Local Economy at Risk

[I]  Japan’s Industrial Output Falls More Than Expected in June

[I]  Asset Bubbles to Zombie Companies: The Dark Side of Rate Cuts

[I]  Hopes for a Deal Are Low as U.S.-China Trade Talks Resume

[I]  Coffee-Growing Nations Plan UN Protest as Slump Ruins Farmers

[I]  Hong Kong’s Waning Importance for China’s Economy

 

WALL STREET JOURNAL

[I]  Fed Prepares Rate Cut Amid Worries About Low Inflation

[I]  Trump Criticizes Expected Fed Rate Cut as ‘Not Enough’

[I]  U.S.-China Trade Talks Set to Resume With Modest Expectations

[I]  Labor Department Makes Public 401(k) Rule Change

[I]  Federal Borrowing Soars as Deficit Fear Fades

[I]  A Key Reason the Fed Struggles to Hit 2% Inflation: Uncooperative Prices

[I]  Real Time Economics: The Fed, Trade Talks and Jobs Day—It’s Going to Be a Fun Week

 

BUSINESS LINE

[I]  Govt may give private sector larger role to improve Discoms’ health

[I]  SBI plans to trim rates on retail domestic term deposits by 5-75 bps

[I]  Govt reaches out to peeved traders; notifies ‘national welfare board’

[I]  Road Ministry proposes implementing traceable technology for vehicle components

[I]  India's renewable energy cost lowest in Asia Pacific: report

[I]  India’s crude steel output grows 4% in June: worldsteel

[I]  Monsoon pummels Central India, promises more rain

 

ECONOMIC TIMES

[I]  India could be staring at a fresh NPA scare

[I]  Sebi has got a new plan to appease FPIs

[I]  Reality dawns, govt trims its Harvard list

[I]  Dollar near 2-month top after US GDP, pound hits 28-month low

[I]  India rice exports could hit 7-year low on weak demand, higher prices: Industry

[I]  Commerce ministry proposes a new export incentives scheme

[I]  Slowdown, NBFC crisis pose fresh NPA scare, warns Moody's

[I]  Sluggish animal spirits highlight India’s struggle with slowdown

[I]  As slowdown bites, India Inc readies to tighten belt

 

BUSINESS STANDARD

[I]  RBI to discuss sovereign bonds on Aug 16 amid risks flagged by economists

[I]  More than 36% of registered companies have 'closed' down in India

[I]  A steady option: Low rain forces farmers in several states to turn to maize

[I]  Number of pending appeals at Securities Appellate Tribunal rise 70% in FY19

[I]  Criteria for identifying risky exporters not made clear by CBIC: Expert

[I]  Auto slowdown: 286 dealers closed down in 18 months, 32,000 jobs impacted

 

MARKETS (07:00 am)

[I]  SGX NIFTY Fut: 11232;  USDINR DGCX: 68.9475;  DJIA Mini: 27244;  FTSE 100 Fut: 7649;  NIKKEI 225 Fut: 21740;  EUR-USD: 1.1137; Crude Oil (WTI): 57.16;  Gold (Spot): 1423

 

Best Regards, ARBIND
30 Jul 2019