MACRO ECONOMIC NEWS

THE SPIRITS OF LOVE, JOY AND PEACE IS IN ACCORD WITH SELF-CONTROL, THIS FRIDAY. WISHING A HARMONIOUS DAY AHEAD.

Macro Economic News 21 Feb 2020

 

Climate campaigners, concerned about global warming, are turning their attention to the world of finance. The U.S. Department of Agriculture said it expects farm debt to rise to a record $425 billion in 2020, with no fresh government aid expected. U.S. energy firm Westinghouse is expected to sign a new agreement with state-run Nuclear Power Corporation of India for the supply of six nuclear reactors during U.S. President Donald Trump's visit next week, aiming to kickstart a long-running project although, as per the head of a U.S.-based business group, the two democracies are unlikely to reach a limited trade agreement in time as proposed new Indian tariffs have complicated negotiations. RBI rate committee torn between growth concerns, inflation fears as a majority of MPC members see space to cut interest rates further to boost economic growth, but the timing of any cuts would be critical. Corporate India's effective tax rate falls for the first time in six years while India ranks 77th on sustainability, 131st in child flourishing index rankings as per UN report. Japan's factory activity shrinks at fastest pace since 2012 while soft inflation adds to Japan's economic woes keeping BOJ under pressure while airlines warn of first global traffic drop since 2009 on virus.

 

FINANCIAL TIMES

[I]  Investors brace for losses in Argentina debt talks

[I]  Climate campaigners turn their fire on financial world

[I]  Big Tech companies want to act like governments

[I]  PBoC will help China recover quickly from coronavirus

[I]  Tax changes risk loss of a valuable resource pool

 

REUTERS

[I]  Westinghouse set to sign pact with NPCIL for nuclear reactors during Trump visit

[I]  RBI rate committee torn between growth concerns, inflation fears

[I]  U.S.-India trade deal unlikely before Trump's India trip - business group

[I]  Japan's factory activity shrinks at fastest pace since 2012 on coronavirus jolt

[I]  Soft inflation adds to Japan's economic woes, keeps BOJ under pressure

[I]  Outbreak will not change China's commitments to buy U.S. goods: senior U.S. official

[I]  India set to import record LNG volumes

[I]  Summit standoff as EU leaders grapple with Brexit-sized hole in budget

 

BLOOMBERG 

[I]  Disagreement on Japan Evacuees; Cops Quarantined: Virus Update

[I]  Japan Price Gains Buoyed by Energy Offer BOJ Little Comfort

[I]  Fannie-Freddie May Be Freed With Treasury Backstop, Mnuchin Says

[I]  Brazil Government Resists Bid to Make Central Bank Target Growth

[I]  Virtual-Reality World Turns Digital Currency Into Cold Cash

[I]  Turkish State Banks Move to Lift Lira as Market Rout Deepens

[I]  Airlines Warn of First Global Traffic Drop Since 2009 on Virus

 

WALL STREET JOURNAL

[I]  Dim Farm Forecast Extends Into 2020

[I]  The U.S.’s Next Trade War? As China Clash Cools, Conflict With India Looms.

[I]  Fed Minutes Show Comfort With Economy, Rate Stance

[I]  IRS Offers Tax-Break Clarity to Accelerate Carbon-Capture Projects

[I]  Fed’s Kashkari Expects Rates to Remain Steady

[I]  Trump Supports Sales of High-Tech Products to China, in Blow to Hawks

[I]  Fed’s Clarida: ‘It’s a Good Picture’ for Economy, Watching Coronavirus Risks

 

BUSINESS LINE

[I]  FinMin allows waiver of late fee for delayed clearance of import containers from China

[I]  Prolonged coronavirus outbreak could be disruptive for India Inc: Crisil

[I]  AEPC appeals to TN CM for separate export promotion policy

[I]  Corporate India's effective tax rate falls for the first time in six years

[I]  India must invest $109 bn to halve its road fatalities: World Bank report

 

ECONOMIC TIMES

[I]  US left wondering what could have been as India setback beckons

[I]  Cabinet approves crop cover rejig, dairy sop schemes

[I]  Govt approves changes in PMFBY to make it optional for farmers

[I]  India & US delink trade deal from Donald Trump's visit, eye FTA

[I]  Indo-US trade deal: The ball is now in Washington's court

[I]  India ranks 77th on sustainability, 131st in child flourishing index rankings: UN report

 

BUSINESS STANDARD

[I]  High-powered meet today to salvage stranded thermal power projects

[I]  Every penny counts as GST officers send demand notices to companies

[I]  Govt takes a call to save telecom firms, but no relaxation likely on AGR

[I]  RBI unveils 5-yr financial inclusion strategy: Here're key recommendations

[I]  Govt rolls out 1% additional ad-hoc incentive for garments and made-ups

[I]  ETF flows show signs of revival in emerging markets, but India an outlier

 

MARKETS (06:30 am)

[I]  SGX NIFTY Fut: 12037;  USDINR DGCX: 71.6375;  DJIA Mini: 29115;  FTSE 100 Fut: 7405;  NIKKEI 225 Fut: 23545;  EUR-USD: 1.0790; Crude Oil (WTI): 53.78;  Gold (Spot): 1620

 

Best Regards, ARBIND

21 Feb 2020