THE NATURE HAS CREATED UNIQUE AND EMPOWERING CIRCUMSTANCES; ENJOY AND HAVE FUN. WISHING A RECREATIONAL WEEKEND.

Macro Economic News 07 Sep 2019

 

The lander of India’s Chandrayaan-2 moon mission was attempting a “soft,” or controlled, landing near the south pole of the moon where scientists believe there could be water ice. ISRO lost communication with it just as it was about to land on the moon. Fed Chair Jerome Powell said, “The U.S. Federal Reserve will continue to act "as appropriate" to sustain the economic expansion in the world's biggest economy”, sticking to a phrase that financial markets have read as signalling further interest-rate reductions ahead. The People’s Bank of China plans to reduce the amount of reserves that commercial banks are required to keep with the central bank by half a percentage point as the world’s second-largest economy faces increasing pressure from a trade war with the U.S. Fitch Ratings downgraded Hong Kong, saying months of unrest were testing the city’s relationship with mainland China and had dented its reputation as a well-governed, stable place to do business.

 

FINANCIAL TIMES

[I]  Gloom deepens for global economy

[I]  Welcome to the age of the eco-entrepreneur

[I]  Yield curve inversion divides Fed presidents

[I]  Boris Johnson’s bullying fails to cow his opponents

[I]  Mortgage wars slash the price of a five-year fix

[I]  Investors shun UK funds in July and seek safety in bonds

[I]  UK state-owned bank scraps sale of retail savings bonds

 

REUTERS

[I]  India loses contact with Chandrayaan-2

[I]  U.S. launches antitrust probe into California automaker agreement

[I]  U.S. hiring cools; wages, hours offer silver lining

[I]  Russia hit back to beat Scotland in Euro qualifier

[I]  Fed Chair Powell repeats vow to act 'as appropriate'

[I]  India's gold demand ticks up ahead of festivals, subdued elsewhere

[I]  Draghi's dilemma: Go big, but how big?

[I]  Zimbabwe after Mugabe: dashed hopes and economic chaos

[I]  August jobs report points to slowing economy, Fed rate cut

 

BLOOMBERG 

[I]  Argentina Soy Crushers Meet With China on Path to Meal Approval

[I]  Once-Hot IPOs Get Cooler Receptions After Earnings Reality Check

[I]  After Worst Rout in Years, Bonds Take Powell and Jobs in Stride

[I]  India Signals More Measures to Spur Economy as Growth Plummets

[I]  Auto Lender Checked Income on 3% of Loans in Subprime Bond

[I]  Fed Case to Cut Rates Again Is Supported by U.S. Jobs Slowdown

[I]  Women in U.S. Work Force Climbs to Highest Since 2002

[I]  Canada’s Jobs Market Surprises Again With Monster Gain

 

WALL STREET JOURNAL

[I]  Modest August Job Growth Shows Economy Expanding, but Slowly

[I]  Powell Signals Rate Cut Likely at Meeting This Month

[I]  August Jobs Report Will Keep Fed on Track to Cut Rates

[I]  Powell Signals Rate Cut Likely at Meeting This Month

[I]  China’s Central Bank to Free Up $126 Billion for Lending

[I]  Fed Lines Up Another Quarter-Point Rate Cut

[I]  Trump Administration Aims to Privatize Fannie Mae and Freddie Mac

[I]  Fitch Downgrades Hong Kong After Months of Protests

 

BUSINESS LINE

[I]  President to visit Iceland, Switzerland, Slovenia to boost economic ties

[I]  Commerce Minister to represent India at the RCEP, East Asia meetings in Bangkok

[I]  India’s domestic market for computer services to grow faster than exports: UN report

[I]  Finance Ministry reviews capital expenditure plan of CPSEs, other ministries

[I]  Slowdown will not hit social sector spending: Finance Minister

[I]  Kharif acreages as good as last year’s

[I]  Government likely to announce measures to boost exports soon

 

ECONOMIC TIMES

[I]  Techies can relax, AI won't steal their jobs

[I]  Carmakers turn to rural India to rev up sales

[I]  Your identity is fueling rise of a whole new industry

[I]  Forex reserve falls by $446 million to $428.6 billion

[I]  Inflation rate is under control, it hasn’t increased since 2014: Nirmala Sitharaman

[I]  Centre to infuse Rs 12,000 crore in state general insurance firms

[I]  Slowing India: The slump we've been reading about enters our backyard

[I]  EPFO in talks with NHAI to enhance funding for road projects

 

BUSINESS STANDARD

[I]  Used car market on growth track, but auto crisis casts a shadow

[I]  Start-ups seek separate data policy, don't want to be part of e-commerce

[I]  Monetary limits won't matter in organised tax evasion, says CBDT

[I]  Finance ministry tells large CPSEs to accelerate investment activities

[I]  Six states, two crops show stress due to erratic rains: CRISIL Drip index

[I]  Explained: How to safeguard children against cyberbullying

 

Best Regards, ARBIND

07 Sep 2019

MAY WE ALL RECEIVE LOVE, JOY, PEACE, BLESSINGS, FORGIVENESS AND ETERNAL LIFE THIS SPECIAL DAY. WISHING A DEVOTIONAL DAY AHEAD.

Macro Economic News 06 Sep 2019

 

China and the United States agreed to hold high-level talks in early October in Washington. The European Union is increasingly worried about British Prime Minister Boris Johnson's stance on the Irish border and future competition rules, sources said. President Vladimir Putin said that Russia would produce missiles that were banned under a landmark Cold-War era nuclear pact that ended last month, but that Moscow would not deploy them unless the United States did so first. The Reserve Bank of India's move to compel lenders to link all new floating rate retail loans to external benchmarks is unlikely to achieve the intended goal of reducing interest rates sharply for consumers anytime soon, bankers and analysts said.

 

FINANCIAL TIMES

[I]  Investment banking revenues plunge to 13-year low

[I]  Merkel visits China as Hong Kong unrest grows

[I]  Indians tighten their belts as economic gloom deepens

[I]  ECB set to consider damage done by negative rates

[I]  China local governments sound alarm on debt obligations

[I]  US and China agree to restart trade talks next month

 

REUTERS

[I]  'Here and now': India's auto industry urges government action to fight slowdown

[I]  Merkel hopes China-U.S. trade problems will be over soon

[I]  In China, P2P insiders say regulatory shortcomings have choked industry

[I]  U.S jobs data supports dollar as fragile risk-on mood holds

[I]  Trade uncertainty to trim $850 billion global output: Fed paper

[I]   Britain abandons plan to immediately end freedom of movement after Brexit

[I]  U.S., China agree to resume trade talks, markets jump

[I]  Indian banks unlikely to sharply trim lending rates despite new norms

[I]  No place like home: Chinese firms stung by trade war build up domestic brands

 

BLOOMBERG 

[I]  Haven Rout Sends Wall of Money Rushing Into Emerging Markets

[I]  Venezuela’s Oil Woes Deepen as Chinese Contractor Halts Work

[I]  Asia's Beaches Go Quiet as Chinese Tourists Stay Home

[I]  Trump Fannie-Freddie Plan Urges Ending Decade of U.S. Rule

[I]  High-Quality Companies Are Selling Bonds at Fastest Pace Ever

[I]  With 49 Deals in 30 Hours, U.S. Corporate Bond Market Ignites

[I]  Bank of Canada Remains Defiant, Still Doesn’t See Case for Cut

 

WALL STREET JOURNAL

[I]  Fed Lines Up Another Quarter-Point Rate Cut

[I]  Trump Administration Aims to Privatize Fannie Mae and Freddie Mac

[I]  Trade Uncertainty Likely to Cut U.S. Growth by More Than 1%, Fed Says

[I]  U.S. Service-Sector Activity Picked Up in August

[I]  Private Sector Adds 195,000 Jobs, Beating Economists’ Estimates

[I]  Watch Friday’s Jobs Report for Signs of a Deepening Slowdown

[I]  The Most Promising Careers of the Next Decade

[I]  U.S. Unit Labor Costs Revised Higher in Second Quarter

 

BUSINESS LINE

[I]  FDI up 28 per cent in April-June 2019

[I]  Commerce Minister to meet exporters on September 11 to discuss measures to push shipments

[I]  Solar installations in first half of 2019 at 3.2 GW, down 35 per cent

[I]  Monsoon strengthens further over the West Coast, Central India

[I]  IMD planning weather forecast at village level

 

ECONOMIC TIMES

[I]  India to participate in multi-national war games

[I]  US jobs data supports dollar as fragile risk-on mood holds

[I]  Trade talk plans cheer risk currencies, hit safe-haven yen

[I]  Most Indians feel economy rigged to favour powerful: Survey

[I]  Trade-war damage piles weight of global economy on consumers

[I]  NHAI to raise over Rs 85k crore via asset recycling: Nitin Gadkari

[I]  Finance ministry to meet heads of CPSEs for capital expenditure push

[I]  India’s reliance on Central Bank cash puts budget funding at risk

 

BUSINESS STANDARD

[I]  Single authority mechanism for processing GST refunds to exporters soon

[I]  Finance ministry asks departments, PSUs to expedite capital expenditure

[I]  RBI deputy governor B P Kanungo sees risk of bond supply dwindling

[I]  Discoms may be asked to pay 50% advance payments to power companies

[I]  Govt launches updated Credit linked Capital Subsidy Scheme for MSMEs

[I]  GST hurting workers, companies interested in skill training: Experts

 

MARKETS (08:30 am)

[I]  SGX NIFTY Fut: 10905;  USDINR DGCX: 72.1250;  DJIA Mini: 26688;  FTSE 100 Fut: 7268;  NIKKEI 225 Fut: 21220;  EUR-USD: 1.1034; Crude Oil (WTI): 56.45;  Gold (Spot): 1514

 

Best Regards, ARBIND
06 Sep 2019

I HAVE TAKEN A BIT FROM YOU IN MY LIFE; YOU ARE INSPIRATIONAL AND THE BEST TEACHER. HAPPY TEACHER’S DAY.

Macro Economic News 05 Sep 2019

 

India and Russia are targeting $30 billion of annual trade by 2025, as a string of energy deals deepened economic ties between the nations. India's central bank mandated banks to link certain loans to the external benchmark based interest rate from Oct. 1, in a bid to allow faster transmission of its rate cuts to consumers. You wouldn’t think to look to France as a model of unfettered markets. But from cellphones to airfares, competition has risen in Europe but shrunk in America.  Most U.S. businesses remain optimistic about their prospects despite concerns about tariffs and trade policy, as the economy continues to grow, the Federal Reserve said in its “beige book” report of anecdotes from business contacts.

 

FINANCIAL TIMES

[I]  Lagarde calls on European governments to launch fiscal stimulus

[I]  Spain’s strong economic growth bucks eurozone trend

[I]  Johnson bets on ballot-box dividend from risky gamble

[I]  Italy’s new coalition gets green light from president

[I]  India and Russia tie up energy and defence deals

[I]  Unaffordable loans are a scandal in South Africa

 

REUTERS

[I]  Exclusive: India likely to miss fiscal deficit target amid pressure for more stimulus - sources

[I]  Snap election on horizon after UK lawmakers vote to block 'no-deal' Brexit

[I]  China, U.S. to hold trade talks in October - China commerce ministry

[I]  China allows imports of soybean meal, rapeseed meal, sunflower meal and sugar beet pulp from Russia

[I]  Bahamas staggers from Dorian's devastation, U.S. coast fears storm surge

[I]  India and Russia target $30 billion in trade by 2025, announce new energy deals

[I]  RBI asks lenders to link some loans to external benchmark

[I]  Indian rupee unlikely to gain traction as investors stay shy: Reuters poll

[I]  Fed's rate-cut debate focuses on 'robust' U.S. consumer

 

BLOOMBERG 

[I]  Central Banks Dust Off Old Tools to Stem Risks From Easy Money

[I]  India’s Reliance on Central Bank Cash Puts Budget Funding at Risk

[I]  The Unlikely Chinese Cities Where House Prices Rival London

[I]  China Signals Further Monetary Easing as Economic Headwinds Rise

[I]  The Philippine Peso's Rally Is Rapidly Unraveling

[I]  Erdogan Says Economy Must Grow Faster, Signals Interest Rate Cut

[I]  ECB’s Mersch Takes Key Hurdle to Help Oversee Euro-Area Lenders

 

WALL STREET JOURNAL

[I]  What France—Yes, France—Can Teach the U.S. About Free Markets

[I]  U.S. Trade Gap Narrowed in July as Imports Fell

[I]  Fed’s Beige Book Reports Modest Growth Despite Trade Uncertainty

[I]  Lagarde Pledges to Review ECB’s Negative Rates

[I]  Fed’s Evans: U.S. Economy’s Trend Growth Rate Likely Around 1.75%

[I]  Fed's Williams: Will ‘Act as Appropriate’ to Keep Expansion Moving Forward

 

BUSINESS LINE

[I]  Commerce Minister to meet exporters on September 11 to discuss measures to push shipments

[I]  Falling exports a cause of greater concern as GDP growth slows down

Sharp fall in cement demand likely due to lower government spending

[I]  India likely to miss fiscal deficit target amid pressure for more stimulus

[I]  India, Russia agree to step up trade to $30 bn by 2025

[I]  Car crash hits economy, pain spreads to rural India

[I]  Maharashtra’s MSMEs staring at a bumpy future

 

ECONOMIC TIMES

[I]  Link loans to benchmarks: RBI to banks

[I]  The road ahead for the coming mega banks

[I]  Weak factory data knocks dollar as Brexit delay hopes boost pound

[I]  Fragmented yield curve key hurdle in growth of corp bond mart: Sebi Chief

[I]  Govt slaps 5 per cent safeguard duty on palm oil imports from Malaysia

[I]  Donald Trump's tariff-hit US firms keen to relocate to India from China

[I]  India promotes long-term big-ticket investments at Eastern Economic Forum

[I]  FDI inflows up 28 percent in Q1 to $16.3 bn

[I]  CRISIL cuts GDP growth to 6.3% in fiscal 2020

[I]  Demand down, government seeks solution in new GST math

 

BUSINESS STANDARD

[I]  American fashion brands push for India-US FTA to streamline trade issues

[I]  RBI mandates banks to link fresh retail loans to external benchmark

[I]  Decorative paints and footwear stand out amid slowdown, may remain outliers

[I]  Economic slowdown hits states' GST revenues more than Centre, shows data

[I]  Services PMI falls to 52.4 in August on slower rate of increase in output

[I]  Russia, already India's biggest arms supplier, in line for more

 

MARKETS (09:00 am)

[I]  SGX NIFTY Fut: 10880;  USDINR DGCX: 72.1300;  DJIA Mini: 26651;  FTSE 100 Fut: 7348;  NIKKEI 225 Fut: 21150;  EUR-USD: 1.1028; Crude Oil (WTI): 56.25;  Gold (Spot): 1545

 

Best Regards, ARBIND

05 Sep 2019