MACRO ECONOMIC NEWS

NATURE BRINGS PROSPECTS IN ITS OWN WAYS TO RELISH. WISHING A CREATIVE DAY AHEAD.

Macro Economic News 25 Mar 2020

India ordered a 21-day lockdown of its 1.3 billion people to try to protect the world's second most populous country from the coronavirus spreading around the world. FM Nirmala Sitharaman says that there is no financial emergency and economic fears unfounded, says while Food Corp. of India Chairman assures India has enough food to feed poor if there’s a prolonged coronavirus shutdown. The U.S. and Europe saw record declines in business activity in March, as economic activity slowed around the world due to measures aimed at containing the new coronavirus. While the U.S. is trying to soften the blow for millions who have already lost jobs due to the coronavirus pandemic, Europe is stopping people from getting fired in the first place. Americans are waiting anxiously for unemployment benefits as state unemployment systems adjust to record levels of claims in the wake of the new coronavirus. The American economy is in a race against time. As the coronavirus downturn deepens, many workers will struggle to make ends meet if they miss a single pay-check. And the picture is grim for small businesses, too. The central bank has asked the money manager to steer tens of billions of dollars in bond purchases, a reflection of the influence of the world’s largest money manager. Oxford study finds that Virus may have infected half of UK while World Health Organization cautions, U.S. could be next 'virus epicentre'. Trump starts national debate over when to reopen economy as global recession looms whereas BOJ sees deeper economic pain, even after emergency easing.

FINANCIAL TIMES

[I]  China to ease coronavirus restrictions on Hubei province

[I]  Virus may have infected half of UK, says Oxford study

[I]  Trump starts national debate over when to reopen economy

[I]  Prisons brace for surge in coronavirus cases

[I]  Business activity crashes to record low in US and Europe

[I]  China property sector shows signs of deterioration

REUTERS

[I]  India shuts down for 21 days as coronavirus spreads across South Asia

[I]  U.S. could be next 'virus epicentre', as India locks down, global recession looms

[I]  Trump administration unclear over emergency production measure to combat coronavirus

[I]  Coronavirus rate cuts to tug most Asian bond yields even lower: Reuters poll

[I]  BOJ sees deeper economic pain, even after emergency easing 

[I]  U.S. Congress still awaits $2 trillion coronavirus aid deal

[I]  Shutdowns stoke debate over what's an 'essential industry'

BLOOMBERG 

[I]  Japanese Bonds Are the Hot Ticket to Get Cheap Dollars For Banks

[I]  New Zealand Declares State of Emergency, Goes Into Lockdown

[I]  Worldwide Dollar Crunch Raises Red Flags in Asia’s Debt Market

[I]  World’s Miners Slowly Grind to a Halt on Virus Restrictions

[I]  New Zealand Says Sizable QE Was Necessary, Won’t Impede Market Function

[I]  Another 11% Swing in the Dow Average Shows Value Still a Mystery

[I]  Bank of Canada Extends Asset Buying to Provincial Money Markets

WALL STREET JOURNAL

[I]  Coronavirus Triggers Record Drops in U.S., European Business Activity

[I]  Europe’s Economic Recipe for the Pandemic: Keep Workers in Their Jobs

[I]  Federal Reserve Taps BlackRock to Purchase Bonds for the Government

[I]  Fed Digital Dollars Are Part of Debate Over Stimulus

[I]  Steven Rattner on Stimulus: ‘Better to Go Too Quickly and Too Heavily’

[I]  Unemployment Checks Delayed in Crisis

[I]  Guns, Groceries and News: What Sells in a Pandemic—and Doesn’t

[I]  U.S. Workers, Businesses Lack Funds to Tide Them Over Until Help Comes

BUSINESS LINE

[I]  Covid-19: Workers’ body seeks ₹3.75-lakh-crore emergency relief package for poor households

[I]  Indian Chamber of Commerce asks Govt to exempt support services of essential commodities from lockdown

[I]  Retailers, chemists urge government to help maintain supply chain amid lockdown

[I]  Coronavirus impact: Organic food companies see surge in online sales

[I]  Government eases compliance for companies, individuals, no charge for ATM withdrawal

[I]  FPIs’ monthly sell-off hits historic high in March

ECONOMIC TIMES

[I]  $45 bn of discretionary spending may be locked down

[I]  40% of GDP: That's how much Covid cost D-St

[I]  India to announce fiscal package to help economy face coronavirus: Finance Minister

[I]  Centre instructs all personnel in expenditure functions to ensure quick response during outbreak

[I]  Govt raises default threshold to Rs 1 cr for invoking insolvency proceedings against firms

[I]  There is no financial emergency, economic fears unfounded, says FM Nirmala Sitharaman

[I]  India has enough food to feed poor if there’s a prolonged coronavirus shutdown

BUSINESS STANDARD

[I]  Coronavirus lockdown: With no food or hope, truckers stranded across India

[I]  Coronavirus outbreak: Govt mulls suspending IBC process for 6 months

[I]  Bond market freezes amid coronavirus scare; traders working from home

[I]  PM Modi announces nationwide 21-day lockdown, appeals for social distancing

[I]  As Covid-19 grips economy, firms uncertain about impact on bankruptcies

[I]  Centre, Sebi likely to remove tax on buybacks, LTCG to lift sentiment

MARKETS (09:00 am)

[I]  SGX NIFTY Fut: 7674;  USDINR DGCX: 76.2300;  DJIA Mini: 20405;  FTSE 100 Fut: 5354;  NIKKEI 225 Fut: 19129;  EUR-USD: 1.0812; Crude Oil (WTI): 24.78;  Gold (Spot): 1618

Best Regards, ARBIND

25 Mar 2020