MACRO ECONOMIC NEWS

CHEERS THIS MOMENT AND THE COMING ONE; JOYOUS ONE IS ON THE WAY. WISHING A GRATEFUL DAY AHEAD.

Macro Economic News 26 Feb 2020

 

India and US signed two Memoranda of Understanding in the healthcare space — relating to mental health and drug safety. PM Modi says that India and US to start negotiations for "big trade deal" while Piyush Goyal says that India and US are moving towards free trade agreement whereas Donald Trump said that India should cut tariffs for better trade ties. A top Fed official says it is too early to tell whether the coronavirus outbreak will force the central bank to resume rate cuts in the coming months although Wall Street falls sharply for second day on virus fears while US official warns public to prepare for coronavirus outbreak as it starts to set off some recession alarm bells in various countries. Growth downgrades in Southeast Asia fuel calls for more stimulus. Annual gross domestic product growth likely rose to 4.7% in the last quarter of 2019 from 4.5% the previous quarter, when the growth rate appears to have bottomed out, finds a Reuters poll. About 90% of economists in the poll forecast growth for the October-December quarter at 5% or below while CRISIL says that the gross credit offtake may see a 200-300 bps rise in FY21.

 

FINANCIAL TIMES

[I]  Wall Street falls sharply for second day on virus fears

[I]  US official warns public to prepare for coronavirus outbreak

[I]  Italy warns EU on budget targets as coronavirus cases rise

[I]  Global investment in agricultural and food tech declines

 

REUTERS

[I]  U.S. warned to prepare for coronavirus pandemic as Europe lockdowns spread

[I]  U.S. braces for coronavirus spread as outbreaks worsen in Italy, Iran

[I]  Hong Kong to announce largest budget in a decade amid protests, coronavirus

[I]  Dashboard of a downturn: coronavirus starts to set off some recession alarm bells

 

BLOOMBERG 

[I]  Treasury Yields’ Plunge Has Analysts Eyeing 1.25% or Well Below

[I]  Lebanon Faces a $50 Billion Hole Even Beyond All Its Eurobonds

[I]  U.S. Delays Changes to Economic-Data Lockups by at Least a Week

[I]  Hedge Funds Ramped Up Leverage in Stocks Just Before Market Rout

[I]  Hong Kong Set for Budget Deficit Amid Unrest, Virus Outbreak

[I]  Growth Downgrades in Southeast Asia Fuel Calls for More Stimulus

[I]  Bank of Canada Lays Groundwork for Digital Currency

[I]  Treasury 10-Year Yield Tumbles to Record Low on Haven Demand

 

WALL STREET JOURNAL

[I]  Fed’s Wait-and-See Posture Tested by Virus

[I]  Fear of Coronavirus, Rather Than Virus Itself, Hits Economies

[I]  China Lifts Import Restrictions on U.S. Farm Goods

[I]  The Taj Mahal, Folk Dancers, ‘Hey Jude’: Trump’s 36 Hours in India

[I]  Labor Rule Impedes Fast-Food, Contract Workers’ Ability to Unionize

[I]  Pace of U.S. Home Price Growth Picked up in December

[I]  Newsletter: Markets Wake Up to Coronavirus

 

BUSINESS LINE

[I]  Will India-US MoU on healthcare make drugs more accessible?

[I]  Oil refiners push for extra pricing for supplying BS-VI fuel

[I]  India, US moving towards free trade agreement, says Goyal

[I]  Want to make electricity primary source of energy: Power Minister

[I]  ‘Recalibrate NFE rules to draw investments to SEZ’

 

ECONOMIC TIMES

[I]  Another green shoot? Slump in bank lending may soon bottom out

[I]  Trump visit: US, India agree to jointly develop arms

[I]  Oil may hit $40 if Russia doesn’t support Opec’s production cuts

[I]  Trade deal with tariff king India by year-end: Donald Trump

[I]  India and US to start negotiations for "big trade deal": PM Modi

[I]  India, US sign three pacts in health and oil sectors

[I]  India's economy likely grew 4.7% in December quarter

 

BUSINESS STANDARD

[I]  Rs 500 notes to push Rs 2,000 out in mega ATM reboot: Things you must know

[I]  India should cut tariffs for better trade ties, says Donald Trump

[I]  India's transit retail market to touch $22 billion in 10 years: Report

[I]  US, India now global strategic partners, to start Quadrilateral Initiative

[I]  RBI MPC may consider coronavirus impact on Indian economy: Report

[I]  Gross credit offtake may see a 200-300 bps rise in FY21, says CRISIL

 

MARKETS (08:30 am)

[I]  SGX NIFTY Fut: 11758;  USDINR DGCX: 72.0450;  DJIA Mini: 27263;  FTSE 100 Fut: 6941;  NIKKEI 225 Fut: 22357;  EUR-USD: 1.0866; Crude Oil (WTI): 50.30;  Gold (Spot): 1640

 

Best Regards, ARBIND
26 Feb 2020