“YOU ARE THE WORLD FOR ME” AND IT IS THE REASON OF MY HAPPINESS. WISHING A GLORIOUS WEEKEND AHEAD.

Macro Economic News 13 Jul 2019

 

The government plans to raise as much as 3.25 trillion rupees in the next five years by reducing its stakes in some large state-owned firms to 40%. India's strong diesel demand growth is decoupling from the car market as motorists increasingly turn to gasoline vehicles, leaving it more reliant on patchy demand from construction and heavy industry. Foreign investors are urging India to reconsider its decision to increase taxes on certain groups of wealthy portfolio investors, arguing the move will hit the competitiveness of Indian capital markets. President Trump’s repeated attacks on the Federal Reserve haven’t significantly damaged perceptions of  the central bank’s independence. China’s foreign trade stumbled last month, as both imports and exports fell, despite Beijing’s efforts to revive domestic demand.

 

FINANCIAL TIMES

[I]  Merkel’s tremors blur traditional German view on privacy

[I]  It’s time to stop ignoring mental health at work

[I]  Singapore’s economy experiences slowest growth in a decade

[I]  Hungary’s takeover of academy blasted as ‘expression of power’

[I]  Italy plans fresh assault on EU public spending rules

[I]  US House votes to restrain Trump on Iran

[I]  Retailers take alternative approach to leases

 

REUTERS

[I]  Exclusive: India aims to raise $47 billion from stake sales in state firms over 5 years - sources

[I]  India's June inflation hits eight-month high but rate cut still possible

[I]  India-U.S. trade talks end without major progress: sources

[I]  Wall Street notches all-time highs on lingering rate-cut optimism

[I]  Foreign investors' lobby group asks India to reconsider high taxes

[I]  India's diesel demand set for detour as drivers switch to gasoline

[I]  G7 deal on minimum tax rates seen eluding ministers: French source

[I]  China to impose sanctions on U.S. firms that sell arms to Taiwan

[I]  U.S. producer prices rise marginally, suggest tame inflation

[I]  China's June exports, imports fall as trade war takes heavier toll

 

BLOOMBERG 

[I]  Hong Kong Turmoil Has Millionaires Eyeing Other Wealth Havens

[I]  Hedge Funds Make Record Bearish Cotton Bet Before Prices Tumble

[I]  Evans Says Two Fed Rate Cuts Could Bring Inflation to Goal

[I]  Interest-Rate Cut Is What Matters Most for ECB, Danske Says

[I]  Fed's Evans Says More Accommodation Needed to Reach 2% Inflation

[I]  Bank of America Cuts Its Outlook for Global Growth

[I]  Americans' Financial Anxiety Remains High Despite Strong Economy

[I]  Banks in Firing Line as Nigeria Looks to Loans to Fuel Economy

[I]  Bank of England to Cut Rates Twice by May, Merrill Lynch Says

 

WALL STREET JOURNAL

[I]  Trump’s Criticism of the Fed Hasn’t Shifted Perception of Its Independence, Economists Say

[I]  Acosta Resigns Amid Pressure Over Epstein Prosecution

[I]  Takeaways From Fed Chief’s Two Days on Capitol Hill

[I]  U.S. Producer Prices Rose Slowly in June

[I]  China Trade Data Points to Sagging Economy

[I]  Fed’s Evans Sees Two Rate Cuts Needed This Year

[I]  Real Time Economics: The Fed Is Going to Cut, Inflation Says Hello and Trump Knocks Bitcoin

 

BUSINESS LINE

[I]  Retail inflation inches up in June even as industrial growth slows down in May

[I]  China’s imports from US plunge 31% in June

[I]  Soon, Tax Dept to send SMS on 18 types of high-value transactions

[I]  Dividend distribution tax here to stay, says Garg

[I]  Good governance means no vested interests, and full accountability

[I]  Kharif sowing picks up pace with improved rainfall

 

ECONOMIC TIMES

[I]  Finance secy just told India Inc way around tax on dividends

[I]  India a step closer to manned space mission

[I]  US now readying to wage a currency war

[I]  Time ripe for a sovereign bond issue: SBI report

[I]  Govt may raise Rs 70,000 cr via issuance of foreign bonds: Garg

[I]  India's summer crop planting down nearly 9 per cent

[I]  RBI examining priority sector lending norms for export credit: Piyush Goyal

[I]  IIP data: India's industrial growth slips to 3.1% in May

[I]  Retail inflation hits eight-month high, rises to 3.18% in June

[I]  India to overtake Japan to become 3rd largest economy in 2025

 

BUSINESS STANDARD

[I]  Delayed monsoon rainfall to adversely impact agri input companies

[I]  Automobile R&D investments soar on new regulations, emerging technologies

[I]  India records fastest reduction in multi-dimensional poverty in 2006-16

[I]  India involved in 14 disputes at WTO currently, says Piyush Goyal

[I]  No question of privatisation of railways: Piyush Goyal tells Parliament

[I]  Monsoon revival helps reservoir levels across India by over 30% in a week

[I]  Govt to consider grandfathering 20% tax on share buybacks already underway

 

Best Regards, ARBIND

13 Jul 2019

HAPPINESS IS THE BEST GRATITUDE FOR GOD’S GRACE. WISHING A WONDERFUL DAY AHEAD.

Macro Economic News 12 Jul 2019

 

India may receive below-average rainfall in the next two weeks with a large deficit in the soybean and cotton growing central and western regions, raising concerns over the output of summer-sown crops. As trade talks resume between China and the United States, President Donald Trump's advisers are confident he can portray his stance against Beijing as a strength in the 2020 election, despite making concessions and having no deal in sight. Federal Reserve Chairman Jerome Powell and legislators in both parties expressed broad concern about Facebook’s plan to create a cryptocurrency-based payment network. U.S. consumer prices rose at a solid pace in June, but offered few signs of a breakout. OPEC cut its 2019 oil production growth forecast for its non-cartel peers, a week after the bloc and its allies extended their continuing output cut for another nine months. European Central Bank officials signaled at their June policy meeting that they will consider injecting fresh stimulus into the eurozone economy amid deep concerns over slowing global growth and trade disputes.

 

FINANCIAL TIMES

[I]  UK braves US ire with tax on tech companies

[I]  Negative bond yields spill into Europe’s emerging markets

[I]  Fed’s dovish tilt stirs debate on how far it will go

[I]  US will keep policing Gulf despite Trump’s protests

[I]  Trump drops plan to squeeze drug industry middlemen

[I]  Eurozone industry struggles to emerge from slowdown

[I]  Australia’s big banks told to boost capital on governance risks

[I]  France leads the way on taxing tech more fairly

 

REUTERS

[I]  India-U.S. trade talks to restart Friday with little sign of compromise

[I]  Make or break: second-quarter results will test Europe's confidence

[I]  Brazil pension reform helps improve inflation outlook, says central bank chief

[I]  Singapore second-quarter GDP year-on-year growth slowest in decade, badly misses forecasts

[I]  India to receive below-average monsoon rains in next two weeks

[I]  U.N. launches investigation into Philippines drug war deaths

[I]  Risks aside, Trump's team sees China trade stance as strength in 2020

[I]  U.S. underlying inflation stirring; labor market tightening

[I]  China second-quarter GDP growth seen easing to 6.2%, more stimulus expected: Reuters poll

 

BLOOMBERG 

[I]  Powell Says Fed Has Room to Cut, May Have Kept Policy Too Tight

[I]  Two Fed Regional Chiefs Say a July Rate Cut May Not Be Warranted

[I]  More Analysts Are Turning Bearish on Japan’s Stocks

[I]  Vietnam Goes From Trade War Winner to Trump Target

[I]  Japan’s Post Office Is an Unlikely Global Bond Powerhouse

[I]  Singapore’s Shock GDP Contraction Sends Warning for World Trade

[I]  India's War on World’s Worst Bad-Debt Pile Stalled by Regulators

[I]  Euro Has Never Been This Popular for Emerging-Market Borrowing

[I]  Bottom 50% of Consumers Are Showing Signs of Weakness, UBS Says

 

WALL STREET JOURNAL

[I]  Fed’s Powell Says Facebook’s Libra Raises 'Serious Concerns’

[I]  U.S. Consumer Prices Increased in June

[I]  Fed’s Williams Joins With Other Officials Leaning Toward Rate Cuts

[I]  Fed’s Bostic Untroubled by Inflation, Demurs on Rate-Cut Prospects

[I]  OPEC Maintains World Oil Demand Forecast as Supply Concerns Continue

[I]  U.S. Jobless Claims Fell to 3-Month Low During Holiday Week

[I]  Fed's Brainard Sees Case for Easing Monetary Policy

[I]  U.S. Budget Gap Widened 23% in First Nine Months of Fiscal Year

[I]  ECB Follows Fed in Signaling Fresh Stimulus

 

BUSINESS LINE

[I]  EV-charging stations: India to use three technologies

[I]  PE/VC investments cross $23 b in H1: Study

[I]  A case for dedicated passenger corridors

[I]  Deficit shrinks, but rains elude South

[I]  For Nairobi, how the umbilical chord for mobility runs from India

[I]  Car brands woo buyers, collectors with special accessories

[I]  Renewable energy sector adds 2,151 MW in Q1

 

ECONOMIC TIMES

[I]  Homebuyers can finally heave a sigh of relief

[I]  Opec sees lower 2020 demand for its oil, points to surplus

[I]  RBI slowed down dollar purchases in May

[I]  Corporate bond issue dips in June, spread widens

[I]  DPIIT, WIPO to release Global Innovation Index on July 24

[I]  View: Modi and the investing class have different economic worldviews

[I]  Finance ministry may look into taxation of employee stock ownership plans

[I]  IBC: Mediation, not bankruptcy, to be key in individual cases

 

BUSINESS STANDARD

[I]  Financial services firms may raise record Rs 1.2 trn via QIPs this year

[I]  MCA may expand powers of regional directors for M&As of higher categories

[I]  US, India trade talks to restart after Donald Trump's tariff tweets

[I]  Housing affordability worsened over past four years, finds RBI survey

[I]  High indirect taxes are hurting exports, Make in India initiative: Experts

[I]  Problem-riddled Mumbai monorail project becomes white elephant for govt

 

MARKETS (08:00 am)

[I]  SGX NIFTY Fut: 11570;  USDINR DGCX: 68.5400;  DJIA Mini: 27155;  FTSE 100 Fut: 7475;  NIKKEI 225 Fut: 21610;  EUR-USD: 1.1264; Crude Oil (WTI): 60.55;  Gold (Spot): 1409

 

Best Regards, ARBIND
12 Jul 2019

HAPPINESS IS BEING WITH THE LOVED ONE FULLY. WISHING AN UNFORGETTABLE DAY AHEAD.

Macro Economic News 11 Jul 2019

 

Indian Cabinet approves bill to merge 13 labour laws into single code. Federal Reserve Chairman Jerome Powell sent a strong signal the central bank could cut interest rates this month by highlighting how the economic outlook hasn’t improved recently. Despite escalating tariffs between the U.S. and China, American imports of manufactured goods from China and 13 other Asian countries rose 9% in 2018 to $816 billion, the largest annual increase in nearly a decade and outpacing a 6% increase in domestic manufacturing gross output. The Bank of Canada kept its key interest rate unchanged at 1.75% and warned that global trade tensions could threaten Canada’s economic outlook following a recent pickup in domestic growth.

 

FINANCIAL TIMES

[I]  Sicily’s young people struggle to find jobs and training

[I]  Fed chair cements case for cut in interest rates

[I]  Trump softened Hong Kong protest stance to revive trade talks

[I]  Australia plans referendum on indigenous recognition 

[I]  Global investment in clean energy slides

[I]  China VC investment in south-east Asia surges fourfold

[I]  China’s car market set for second year of falling sales

[I]  India car sales plunge by a quarter as credit crunch bites

 

REUTERS

[I]  India receives above normal rains this week, spurring crop planting

[I]  Brazil pension overhaul bill wins by resounding margin in lower house

[I]  Domestic airfares soar in Indonesia despite government price cap

[I]  U.S. to probe French plan to tax tech companies

[I]  Europe should brace for U.S. tariffs on several fronts - German official

[I]  Euro zone growth, inflation outlook cut as risks from U.S. trade grow

[I]  Autos rebound helps UK economy in May, but weakness remains

[I]  Euro zone sees economic outlook worsening amid uncertain U.S. trade policy

 

BLOOMBERG 

[I]  Powell Sounds Dovish Enough to Open Door for a Half-Point Cut

[I]  Taiwan Is Home to the World's Fastest-Growing ETF Market

[I]  Powell Flags Cut, U.S. Defies China, Korea-Japan Woes: Eco Day

[I]  Buyers Return to U.K. Housing Market as Confidence Improves

[I]  Pakistan Wants to Help Brokers in World’s Worst Stock Market

 

WALL STREET JOURNAL

[I]  Powell Says Outlook Hasn’t Improved, Setting Stage for Rate Cut

[I]  Fed Saw Strengthening Case for Rate Cuts Last Month, Minutes Show

[I]  A Record Expansion’s Surprise Winners: The Low-Skilled

[I]  ‘Reshoring’ Report Finds Factory Work Not Returning to U.S.

[I]  Canada Central Bank, Holding Steady, Flags Trade Concerns

[I]  Real Time Economics: Powell to Testify, Boeing Falters and China’s Factories Confront Deflation

[I]  China Producer Prices Stall, Adding to Industry Woes

 

BUSINESS LINE

[I]  Auto sector stares at job cuts as sales continue to skid

[I]  India, Russia hold dialogue on enhancing bilateral ties

[I]  All workers to receive appointment letter; night-shift option for women

[I]  Bill to ban unregulated deposit schemes approved

[I]  Corporate funding for solar power up 11%: Report

[I]  Maharashtra rejigs maritime policy; extends concession licence periods

[I]  Kerala’s tea output falls 36% in April-June period

 

ECONOMIC TIMES

[I]  India's war on black money gets a major boost

[I]  RBI panel proposes extension of forex market timing

[I]  Healthy appetite for debt paper from emerging markets

[I]  Government may amend IBC laws in different spheres

[I]  Cabinet approves bill to merge 13 labour laws into single code

 

BUSINESS STANDARD

[I]  No question of rolling back surcharge on FPI trusts, says Finance Ministry

[I]  Student housing may get up to Rs 2-trn investment, PE funds bet on sector

[I]  Domestic auto sales skid 12% in June, no immediate respite likely

[I]  India Inc's FDI down over two times to $820 million in June, shows RBI data

[I]  Trade dispute India's top agenda during US officials visit to New Delhi

[I]  PMO calls for freezing of shell firms' bank accounts within two weeks

[I]  Good, bad and ugly of incentives by financial firms an investor must know

 

MARKETS (08:30 am)

[I]  SGX NIFTY Fut: 11540;  USDINR DGCX: 68.4925;  DJIA Mini: 26907;  FTSE 100 Fut: 7491;  NIKKEI 225 Fut: 21590;  EUR-USD: 1.1273; Crude Oil (WTI): 60.63;  Gold (Spot): 1424

 

Best Regards, ARBIND
11 Jul 2019