May 15, 2019 / 3:23 AM / 9 days ago

Morning News Call - India, May 15

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    FACTORS TO WATCH
    No major events are scheduled for the day.
    
    GMF: LIVECHAT-EQUITIES WATCH
    Join our Reuters correspondents in London and New York for a discussion on
the stock markets and company earnings at 6:30 pm IST. To join the conversation,
click on the link: here
    
    
    INDIA TOP NEWS
    •Jet Airways sees management exodus as rescue hopes dim
The chief executive and two other senior figures at Jet Airways have quit, the
Indian company said on Tuesday, further eroding any hopes of a rescue of the
debt-laden carrier that grounded operations last month.
    •Citigroup looks to vastly expand India reach with Paytm tie-up
India's top digital payments firm Paytm on Tuesday launched a credit card with
Citigroup, widening its financial product base while giving its banking partner
an opportunity to vastly expand its credit card customer base in the country.

    •EXCLUSIVE-India fears US-China trade war will lead to dumping of Chinese
steel: sources
India fears China could soon start flooding excess steel into its market after
the United States raised tariffs on Chinese products due to the escalating trade
war between the world's two largest economies, according to three government
sources and four industry officials.
    •Samsung says new smartphone series off to strong start in India
Samsung Electronics has sold 5 million units of its Galaxy A series smartphones,
generating sales of over $1 billion since it began selling the devices in March,
a senior company executive said on Tuesday.
    •Japan takes India to WTO over mobile phone import duties
Japan has complained at the World Trade Organization about India's duties on
mobile phones, base stations and routers, and the circuit boards and other
components that go into them, a WTO filing showed on Tuesday.
    •India delays levying retaliatory tariff on U.S. goods to June 16
India delayed on Tuesday the implementation of higher tariffs on some goods
imported from the United States to June 16, according to a government statement.

    •Monsoon to arrive late, deliver less rain: Skymet
India's monsoon rains will arrive on its southern coast on June 4 and deliver
less rain than average this year, a private weather forecaster said on Tuesday,
lowering prospects of higher farm and economic growth in the $2.6 trillion
economy.
    •India to decide on resuming Iranian oil buy after elections: government
source
India told Iran on Tuesday it will decide on its oil imports after elections end
this month, in line with its economic interests, a government source said.

    
    
    GLOBAL TOP NEWS
    •Trump calls trade war with China 'little squabble,' says talks ongoing
U.S. President Donald Trump on Tuesday called the trade war with China "a little
squabble" and insisted talks between the world's two largest economies had not
collapsed, as investors remained on guard for a further escalation of
tit-for-tat tariffs.
    •EXCLUSIVE-Trump expected to sign order paving way for U.S. telecoms ban on
Huawei
President Donald Trump is expected to sign an executive order this week barring
U.S. companies from using telecommunications equipment made by firms posing a
national security risk, paving the way for a ban on doing business with China's
Huawei, three U.S. officials familiar with the plan told Reuters.
    •Saudi oil facilities attacked, U.S. sees threat in Iraq from Iran-backed
forces
Saudi Arabia said armed drones struck two of its oil pumping stations on
Tuesday, two days after the sabotage of oil tankers near the United Arab
Emirates, and the U.S. military said it was braced for "possibly imminent
threats to U.S. forces in Iraq" from Iran-backed forces.
        
    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    •SGX Nifty nearest-month futures little changed at 11,266.00.
    •The Indian rupee is expected to trade little changed against the dollar
after regional equities recovered from recent losses, helping alleviate concerns
over the biggest increase in Brent crude in three weeks.
    •Indian government bonds are likely to rise in early trade as the central
bank announced an open market purchase of notes. The yield on the benchmark
7.26% bond maturing in 2029 is likely to trade in a range of 7.36%-7.42% today,
a trader with a private bank said.
    
    
    GLOBAL MARKETS
    • U.S. stocks on Tuesday reclaimed some of the ground lost in the prior
day's steep sell-off, with tariff-sensitive technology stocks leading the S&P
500 and the Nasdaq higher as investors were heartened by a tonal shift in
U.S.-China trade rhetoric.
    • Asian stocks struggled near a 3-1/2-month low on lingering concerns over
the economic impact of a U.S.-China trade war, although an overnight bounce on
Wall Street helped limit the losses.
    • The dollar was firmer in early Asian trade while the Australian dollar
brushed a more than four-month low as traders eyed Chinese and European data for
clues on whether the worst is over for the global economy.
    • Treasury yields rose on Tuesday in sympathy with U.S. stock indexes as
hopes for a U.S.-China trade deal boosted demand for risk assets after Monday's
heavy sell-off.
    • Oil eased after closely watched data showed a surprise rise in U.S. crude
stockpiles, but prices were supported by mounting tensions in the Middle East.

    • Gold steadied after retreating from a one-month peak in the previous
session as Washington and Beijing decided to further their discussions on trade,
soothing investor concerns around a full-blown trade war.
    
    
                   CLOSE        FII INVESTMENTS  EQUITIES      DEBT
 PNDF spot         70.30/70.33  May 14           -$285.79 mln  $179.80 mln
 10-yr bond yield  7.38%        Month-to-date    --            -$45.13 mln
                                Year-to-date     --            -$2.60 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 = 70.40 Indian rupees)

 (Compiled by Karthick Arvinth in Bengaluru.)
  
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