October 9, 2018 / 3:13 AM / 9 days ago

Morning News Call - India, October 9

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    FACTORS TO WATCH
    No major events are scheduled.
    
    GMF: MARKETS FOCUS 
    Cliff Tan, East Asian head of global markets research at Bank of
TokyoMitsubishi UFJ, discusses the global equities and commodities, expectations
on central banks and his outlook for the Chinese economy at 11:30 am IST. To
join the conversation, click on the link: here
    
    
    INDIA TOP NEWS
    • India wants U.S. sanctions waiver after cutting Iran oil imports -
officials
    India hopes to secure a waiver from U.S. sanctions on Iran before they take
effect on Nov. 4, as it had significantly cut Iranian oil imports before the
deadline, officials said on Monday.
    • BNP Paribas plans to sell part of its stake in India's SBI Life
    BNP Paribas, France's largest listed bank, said on Monday that it plans to
sell part of its 22 percent stake in Indian insurer SBI Life over the coming
quarters as local regulation requires a larger free-float for SBI Life.

    • Aluminium makers win Japan sales in market shake-up
    Aluminium makers including Hindalco Industries and Vedanta are boosting
sales to Japan as U.S. sanctions against Russia's Rusal and import tariffs shake
up traditional supply routes.
    • Shares in Gati tumble after credit rating downgrade
    Shares in Gati closed down 10 percent on Monday after ratings agency CARE
downgraded the credit rating for the logistics company, citing a drop in
profitability and decline in revenue from operations.
    • National Housing Bank raises refinance limit
    National Housing Bank will raise its refinance limit to 300 billion rupees
for the year to June, 2019 in an effort to make funds available to housing
finance companies, the country's finance ministry said on Monday.
    • Aavas Financiers falls 13.5 percent on market debut after $235 million IPO
    Shares of Aavas Financiers dropped as much as 13.5 percent in early trade on
their market debut after the mortgage lender raised 17.34 billion rupees from
its initial public offering in late September.
    • NBFCs slip as cenbank plans to strengthen sector norms
    Shares of a few non-banking financial companies (NBFCs) took a hit on Monday
after the Reserve Bank of India said on Friday it was looking at strengthening
guidelines for such entities to avoid rollover risks.
    • Amazon India denies it gives select sellers preferential treatment
    Amazon's Indian business has denied accusations that it favours select
merchants and brands, responding to a complaint lodged by an Indian lobby
group.    
    
    GLOBAL TOP NEWS
    • IMF cuts world economic growth forecasts as import tariffs, emerging
market issues bite
    The International Monetary Fund cut its global economic growth forecasts for
2018 and 2019, saying that trade policy tensions and the imposition of import
tariffs were taking a toll on commerce while emerging markets struggle with
tighter financial conditions and capital outflows.
    • Alphabet to shut Google+ social site after user data exposed
    Alphabet's Google will shut down the consumer version of its failed social
network Google+ and tighten its data sharing policies after announcing on Monday
that private profile data of at least 500,000 users may have been exposed to
hundreds of external developers.
    • U.S. economists win Nobel for work on climate change, innovation
    Americans William Nordhaus and Paul Romer, pioneers in adapting the western
economic growth model to focus on environmental issues and sharing the benefits
of technology, won the 2018 Nobel Economics Prize on Monday.
    
    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were up 0.2 percent at 10,384.50, from its
previous close.
    • The Indian rupee is expected to open higher against the dollar, helped by
a Chinese yuan-led recovery in regional currencies.
    • Indian government bonds are likely to edge down in early trade as bets of
more rate hikes by the Federal Reserve drove U.S. Treasury yields higher even as
traders awaited supply of Indian state government bonds today. The yield on the
benchmark 7.17 percent bond maturing in 2028 may trade in a 7.96 percent-8.01
percent band today.
   
    
    GLOBAL MARKETS
    • The tech-heavy Nasdaq fell on Monday for the third straight day as a
sell-off in Chinese markets sparked concerns about slowing global economic
growth, though the S&P 500 pared losses to end nearly flat.
    • Asian shares hit 17-month lows as China allowed its currency to slip past
a psychological bulwark amid sharp losses in domestic share markets, a shift
that pressured other emerging currencies to depreciate to stay competitive.

    • The dollar slipped against the safe-haven yen in Asia on simmering anxiety
about higher U.S. bond yields, the Sino-U.S. trade war and political turmoil in
Europe.
    • Oil prices held little changed, as more evidence emerged that crude
exports from Iran are declining in the run-up to the reimposition of U.S.
sanctions, while a hurricane moved across the Gulf of Mexico.
    • Gold prices edged higher, drawing some safe-haven bids from risk-averse
investors as Asian stocks fell amid worries over a potential slowdown in China's
economic growth.
    
 CLOSE             FII INVESTMENTS  EQUITIES       DEBT          
 PNDF spot         73.97/74.00      October 8      -$243.72 mln  -$304.22 mln
 10-yr bond yield  7.97 pct         Month-to-date  -$1.42 bln    -$689.41 mln
                                    Year-to-date   -$3.59 bln    -$7.44 bln
    
    For additional data:
    India govt bond market volumes                 
    Stock market reports                
    Non-deliverable forwards data              
    Corporate debt stories               [IN CORPD]
    Local market closing/intraday levels [IN SNAPSHOT]
    Monthly inflows                      [INFLOWS RTRS TABLE IN]
 


($1 = 74.0600 Indian rupees)

 (Compiled by Debanjan Bose in Bengaluru)
  
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