MACRO ECONOMIC NEWS

YOU BRING YOUR SHINE IN EVERY WALK WITH NATURE. WISHING A PROFOUND DAY AHEAD.

Macro Economic News 22 Apr 2020

Reuters poll finds U.S. economy is likely set for U-shaped recovery after deep rut. The US passed an aid package of more than $480 billion to small businesses and hospitals as the latest effort to blunt the economic and health-care crisis while U.S. home sales tumble as coronavirus keeps buyers indoors. The pandemic is hitting state labor markets to very different degrees, with some seeing as many as one in five workers file for unemployment benefits and others far less. Covid-19 is raising questions about the viability of an economic system built on borderless migration and a single marketplace that matches labor supply with demand in Europe. Nowhere is that more apparent than in the sudden reordering of the bloc’s agricultural industry. The British money transfusion that may not be enough while Ireland sees economy shrinking at least 10% this year. Bank of Japan flags coronavirus risks to financial stability while India eases fundraising rules for companies as coronavirus hurts deals. RBI increases WMA limit to Rs 2 lakh crore for April-September while considers standing deposit facility to manage extra liquidity. Maharashtra govt withdraws Covid-19 lockdown relaxations for Mumbai and Pune whereas Centre seeks India Inc's view on economic revival. Paul Krugman says federal government response insufficient so far whereas Rajan sees no early respite for world economy and World Bank tells G20 about pandemic threatening food security of poor nations.

FINANCIAL TIMES

[I]  Scores of US public companies take small business funds

[I]  US oil price takes new dive as market turmoil widens

[I]  Industry warns over face mask shortage for public

[I]  Spain calls for €1.5tn EU recovery fund to ‘protect internal market’

[I]  Warnings of unrest mount as outbreak hits food availability

[I]  Trump suspends key routes to US immigration for 60 days

[I]  Investors anticipate European economic rebound as lockdown eases

[I]  Coronavirus pushes unemployment in Ireland to ‘unprecedented’ level

[I]  Bank of Japan flags coronavirus risks to financial stability

REUTERS

[I]  India eases fundraising rules for companies as coronavirus hurts deals

[I]  U.S. Senate passes nearly $500 billion coronavirus bill aiding small business

[I]  Mexico, Ecuador and Venezuela particularly hit by oil slump among Latam producers

[I]  Lawsuit claims 10 big banks rigged market for 'odd-lot' U.S. corporate bonds 

[I]  The British money transfusion that may not be enough

[I]  U.S. economy likely set for U-shaped recovery after deep rut: Reuters poll

[I]  Oil crash pummels stocks and bond yields; dollar rises

[I]  Europe's banks brace for bad debt build up from coronavirus crisis

[I]  U.S. home sales tumble as coronavirus keeps buyers indoors

[I]  World Bank tells G20: Pandemic threatens food security of poor nations

[I]  Ireland sees economy shrinking at least 10% this year

BLOOMBERG 

[I]  Oil Jumps in Early Asia Trading After Two Days of Huge Selloffs

[I]  Oil Crash Disinflation, Grim Economics, Firehose Unwind: Eco Day

[I]  Historic Oil Rout Poised to Bust Shale, Trump’s Energy Dominance

[I]  A Trickle of Bad U.K. Property Loans Is About to Become a Flood

[I]  China Called Out in U.S. Warning Over Emerging Market Investing

[I]  Paul Krugman Says Federal Government Response Insufficient So Far

[I]  Negative Oil Prices Are Literally Breaking Traders’ Risk Models

[I]  Low Returns on Cash Squeeze Chinese Savers Out of Comfort Zone

[I]  Japan’s Inflation Obsession Fades in Effort to Cope With Virus

[I]  ECB May Discuss Junk Debt Collateral in Call on Wednesday

WALL STREET JOURNAL

[I]  Oil Price Rout to Hit U.S. Regional Economies

[I]  Senate Passes Bill for More Small-Business Stimulus

[I]  Labor Secretary Says States Catching Up on Jobless-Payments Backlog

[I]  Coronavirus Sends One-Fifth of Workers to Unemployment Line in Some States

[I]  ‘The French Are Very Bad at Picking Asparagus.’ Virus Imperils European Farming.

[I]  Americans Pulled Back From Home Purchases in March

[I]  Economy Week Ahead: Jobless Claims, U.S. Home Sales, PMI

BUSINESS LINE

[I]  Post-lockdown, current business alternatives may become the new norm

[I]  Bread factories, milk plants allowed to operate in urban areas: Home Affairs Ministry

[I]  Trump move on H1-B may force IT firms to move staff offsite

[I]  MFIs, banks bullish on fast recovery of rural economy post lockdown

[I]  Proposed Electricity Act may rework slabs for residential consumers

[I]  Where do we go with our harvested wheat?

ECONOMIC TIMES

[I]  Rajan sees no early respite for world economy

[I]  FDI policy does not restrict market access: Officials

[I]  India ranks 142nd on global press freedom index

[I]  G20 debt relief: More a curse than a blessing

[I]  RBI 3-month EMI moratorium could provide Rs 2.1 lakh crore liquidity to companies

[I]  RBI increases WMA limit to Rs 2 lakh crore for April-September

[I]  Time for India to think long-term during COVID-19 crisis: Arvind Panagariya

BUSINESS STANDARD

[I]  Fearing NPAs, banks shoot off notices to malls for loan repayment

[I]  Brent price crash adds to oil chaos even as OPEC+ rushes to cut output

[I]  RBI considers standing deposit facility to manage extra liquidity

[I]  Maharashtra govt withdraws Covid-19 lockdown relaxations for Mumbai, Pune

[I]  Hankering for 'non-essentials': Pyjama set, roti maker, ludo and what not

[I]  Centre seeks India Inc's view on economic revival amid Covid-19 outbreak

[I]  When oil goes negative: How did it happen, what it means for Indian economy

[I]  India Inc's rating interference irks Sebi; MFs told to take action

MARKETS (07:00 am)

[I]  SGX NIFTY Fut: 8902;  USDINR DGCX: --;  DJIA Mini: 22970;  FTSE 100 Fut: 5654;  NIKKEI 225 Fut: 18940;  EUR-USD: 1.0854; Crude Oil (WTI): 13.40;  Gold (Spot): 1690

Best Regards, ARBIND

22 Apr 2020