MACRO ECONOMIC NEWS

THE TRIUMPH OF GOODNESS IS PLEASANTLY PLAYFUL. WISHING A JOVIAL DAY AHEAD. 

Macro Economic News 03 Apr 2020

 

Hundreds of millions of people globally work odd jobs in a vast informal economy, from India to Africa to South America. With quarantines keeping them from work, many fear homelessness and hunger. A record 6.6 million US workers applied for unemployment benefits last week, marking a sharp downturn in the labor market whereas The U.S. trade deficit in goods narrowed sharply in February. Factories across the U.S., Asia and Europe cut output and jobs at the fastest pace since the global financial crisis, a sign the global economy has entered a deep freeze as governments lock down their populations and as a result the UN forecasts global economy shrinking by almost one per cent in 2020. Germany lifts coronavirus ban on seasonal workers while Japan assures to roll out stimulus package next week as pandemic pain deepens whereas China pledges support to help foreign firms. ADB says that global cost of coronavirus could reach $4.1 trillion at the same time U.S. doubles small-business loans’ rate to 1%. Fed’s Mester Says Unemployment Rate in U.S. Could Reach 15%. Reuters poll finds Indian rupee's weakness to linger in near-term while manufacturing activity is at 4-month low, PMI at 51.8 and optimism also low. As fear of Covid-19 resulting in greater income inequality, trade unions seek labour minister's intervention to stop retrenchment of workers, salary cuts.

 

FINANCIAL TIMES

[I]  Global lay-offs surge as 6.6m Americans file jobless claims 

[I]  Oil surges as Trump spurs hopes for Russia-Saudi pact

[I]  Dividends: the sacrosanct payments under heavy fire 

[I]  Tragedy unfolds as deaths rise in Europe’s homes for elderly

[I]  Germany lifts coronavirus ban on seasonal workers

[I]  Israel struggles to contain virus in ultra-orthodox town

[I]  Australia faces ‘humanitarian disaster’ on board cruise ships 

 

REUTERS

[I]  Indian rupee's coronavirus-induced weakness to linger in near-term: Reuters poll

[I]  Explainer: How the coronavirus crisis is affecting food supply

[I]  Australia's health system capable of managing coronavirus pandemic - prime minister

[I]  China pledges support to help foreign firms amid coronavirus pandemic

[I]  Japan to roll out stimulus package next week as pandemic pain deepens

[I]  UK’s garden industry faces ruin from coronavirus crisis

[I]  Airline industry braces for prolonged recovery from coronavirus crisis

[I]  Coronavirus fallout dents economic outlook for developing Asia - ADB

[I]  Japan service sector activity slumps most in a decade as virus impact spreads

 

BLOOMBERG 

[I]  U.S. Doubles Small-Business Loans’ Rate to 1% After Lenders Balk

[I]  How to Read Friday’s U.S. Jobs Data and Beyond for Virus Impact

[I]  In Just Three Weeks, 10% of Workers in These States Are Jobless

[I]  Global Cost of Coronavirus Could Reach $4.1 Trillion, ADB Says

[I]  RBNZ Steps Up Pace of Bond Purchases Amid Flood of Issuance

[I]  Record Claims, Fed Balance Sheet Explodes, Broken World: Eco Day

[I]  India’s Place in Global Markets at Stake in Virus Response

[I]  Foreign Central Banks Sell $109 Billion of Treasuries in March

[I]  Fed’s Mester Says Unemployment Rate in U.S. Could Reach 15%

 

WALL STREET JOURNAL

[I]  Record 6.6 Million Americans Sought Jobless Benefits Last Week

[I]  Record Unemployment Claims Unlikely to Show Up in Friday’s March Jobs Report

[I]  U.S. Trade Gap Narrowed in February as Coronavirus Spread

[I]  China’s New Coronavirus Policies Disrupt U.S. Air Cargo Operations

[I]  In Developing World, Coronavirus Slams Workers in Informal Economy

[I]  U.S. Manufacturing Activity Contracts as Virus Hits Factories

 

BUSINESS LINE

[I]  Covid-19 impact: ADB expects India’s economic growth to slow down to 4 per cent in FY21

[I]  Now, planes will fly medical equipment, essential drugs

[I]  Indians stranded abroad unlikely to come back before April 15

[I]  India's food security discussed at WTO amidst Covid-19 pandemic

[I]  Covid-19 impact: Global economy could shrink by almost 1 per cent in 2020, say UN

[I]  Covid-19 will result in greater income inequality

 

ECONOMIC TIMES

[I]  World Bank writes India $1 bn cheque as Covid's hold hits 1 mn

[I]  Need to ease lockdown in a staggered way: PM Modi

[I]  Dollar holds gains as investors seek safety in liquidity

[I]  Traders concerned over advance payments made to farmers

[I]  Direct tax collections post a shortfall of 12.2%

[I]  Exporters seek nod to restart ops with 50% staff, essential tag

[I]  Manufacturing activity at 4-month low, PMI at 51.8, optimism low

[I]  Trade unions seek labour minister's intervention to stop retrenchment of workers, salary cuts

 

BUSINESS STANDARD

[I]  Cities locked out for Covid-19, struggle in villages of another magnitude

[I]  India gears up for rapid virus testing as rising hotspots ring alarm bells

[I]  Silver lining for OMCs: Low crude oil prices signal structural gains

[I]  Women Jan Dhan account holders to get cash benefits in a staggered manner

[I]  PSBs rescue pvt peers as states pull out deposits after RBI cut rates

[I]  ETFs liquidate at quickest pace since 2017 as coronavirus roils markets

 

MARKETS (10:00 am)

[I]  SGX NIFTY Fut: 8137;  USDINR DGCX: 76.8000;  DJIA Mini: 20995;  FTSE 100 Fut: 5411;  NIKKEI 225 Fut: 17740;  EUR-USD: 1.0839; Crude Oil (WTI): 23.83;  Gold (Spot): 1613

 

Best Regards, ARBIND

03 Apr 2020