MACRO ECONOMIC NEWS

THE ENVIRONMENT IS SETTING THEATRE FOR EXPANDING WORLDVIEW. WISHING AN OUTSIZED DAY AHEAD. 

Macro Economic News 01 Apr 2020

 

The FED launched its latest lending program to alleviate market strains by allowing foreign central banks to convert their holdings of Treasurys into dollars. President Trump called for infrastructure investment to be a part of a fourth congressional relief package, citing low interest rates. The federal government will this week release funds from stimulus package to boost jobless benefits. China manufacturing index rebounds in March while lockdown fatigue hits after Europe cracks down whereas dealmaking grinds to a halt. ECB financial supervisor urges banks to cut back on bonuses whilst UK banks scrap dividends. Virus threatens to push developing Asia economies into recession whereas UN opines that the world economy will go into recession with likely exception of India, China. Central bank minutes about 'Very material' contraction likely in Australia while Japan's business mood hits seven-year low and it remains on the brink of a state of emergency as per its top Japanese government spokesman. Indian core sector grew 5.5 per cent in February, highest in 11 months while its fiscal deficit touches 135% of revised estimates during April-Feb and the government plans to borrow ₹ 4.88 lakh cr during April-September.

 

FINANCIAL TIMES

[I]  China manufacturing index rebounds in March

[I]  Lockdown fatigue hits after Europe cracks down 

[I]  Dealmaking grinds to a halt on coronavirus impact

[I]  ECB financial supervisor urges banks to cut back on bonuses

[I]  Virus threatens to push developing Asia economies into recession

[I]  Fed sets up scheme to meet foreign demand for dollars

 

REUTERS

[I]  'Very material' contraction likely in Australia due to coronavirus: central bank minutes

[I]  Japan's business mood hits seven-year low as virus revives deflation specter

[I]  UK banks scrap dividends on coronavirus fears, pressure on bonuses

[I]  Japan on brink of emergency as coronavirus spreads - government spokesman

[I]  Japan's factory activity shrinks at fastest pace since 2009, new orders slump - PMI

[I]  Argentina to continue talks with creditors after missing deadline: economy minister

[I]  Trump warns Americans of a tough two weeks ahead in coronavirus fight

[I]  South Korea March exports slip as virus hit outweighs surging chip demand

 

BLOOMBERG 

[I]  Trump Set to Announce Deferral for Some Tariff Payments

[I]  Singapore Home Prices Fall Most in More Than Three Years

[I]  Emerging Asia’s Best Currencies Become Worst Amid Virus Havoc

[I]  Chile Cuts Key Rate for Second Time in Month as Crisis Looms

[I]  Food Security Fears Starting to Threaten Rice Exports in Asia

[I]  Bank of Canada’s Measures Are Helping Credit Markets, But Oil Shock Looms

[I]  Fed Takes on Role of World’s Central Bank by Pumping Out Dollars

 

WALL STREET JOURNAL

[I]  Fed Launches New Lending Facility for Foreign Central Banks

[I]  Trump Calls for New $2 Trillion Infrastructure Bill

[I]  How Mnuchin Became Washington’s Indispensable Crisis Manager

[I]  Bigger Unemployment Payments to Reach States This Week, Labor Secretary Says

[I]  U.S. Home-Price Growth Accelerated Before Pandemic

[I]  Fed’s Mester Doesn’t Regret Her FOMC Dissent

 

BUSINESS LINE

[I]  Core sector grew 5.5 per cent in February, highest in 11 months

[I]  Fiscal deficit touches 135% of Revised Estimates during April-Feb

[I]  World economy will go into recession with likely exception of India, China: UN

[I]  Donation to PM CARES Fund to be fully exempted section 80G of I-T Act

[I]  Foreign trade policy extended by a year to help exporters tide over Covid-19 crisis

[I]  Government to borrow ₹ 4.88 lakh cr during April-September

 

ECONOMIC TIMES

[I]  India flexes its fiscal muscles to fight Covid

[I]  VCs and startups CEOs to launch Covid-19-focussed Grant

[I]  Small savings schemes to fetch lower returns

[I]  Govt extends interest subsidy on small crop loans till May 31

[I]  G20 FMs, central bank governors decide on joint effort

[I]  'It is like wartime': Arundhati Bhattarcharya backs strong, radical measures to save economy

[I]  Govt hikes wages under rural employment guarantee scheme

 

BUSINESS STANDARD

[I]  Govt cuts domestic natural gas price by 26% for first half of FY21

[I]  New tax rules: Here're the changes that come into effect from today

[I]  Non-food loan growth pace decelerates to 7.3% in February 2020 from 13.2%

[I]  RBI Moratorium: NBFCs stare at asset liability management challenges

[I]  Banks extending emergency loans to salaried, entrepreneurs after rate cut

 

MARKETS (09:00 am)

[I]  SGX NIFTY Fut: 8465;  USDINR DGCX: 75.8325;  DJIA Mini: 21454;  FTSE 100 Fut: 5521;  NIKKEI 225 Fut: 18650;  EUR-USD: 1.1021; Crude Oil (WTI): 20.61;  Gold (Spot): 1585

 

Best Regards, ARBIND
01 Apr 2020