June 27, 2019 / 3:00 AM / 4 months ago

Morning News Call - India, June 27

To access a PDF version of this newsletter, please click here here
    
    If you would like to receive this newsletter via email, please register at:
here
    
    
    FACTORS TO WATCH
    No major events are scheduled for the day.
    
    LIVECHAT - FINANCIALS OUTLOOK
    Kokkie Kooyman, Director and Portfolio Manager, global financials, at Denker
Capital discusses the outlook for financials in Europe, the emerging world and
the U.S., against the backdrop of the prevailing monetary policy. To join the
conversation at 3:30 pm IST, click on the link: refini.tv/2P8N0Wp
    
    
    INDIA TOP NEWS
    • Pompeo vows cooperation with India but trade, defence issues unresolved
    U.S. Secretary of State Mike Pompeo sought to reduce heightened trade
tension with India on Wednesday, promising a renewed focus on negotiating better
ties, but giving few specifics of how they would overcome disputes over trade
and investment.
    • RBI says foreign firms can process abroad, but must store data in India
    Foreign payment firms such as Mastercard and Visa can process transactions
made in India outside of the country but the related data should be brought back
for local storage within 24 hours, the Reserve Bank of India (RBI) said on
Wednesday.
    • ANALYSIS-Slow pace of reforms spurring higher coal imports by Indian
utilities
    Coal imports by Indian utilities are surging after the government failed to
open the industry to competition, despite passing a liberalization policy 16
months ago, because of bureaucratic indecision and resistance from unions,
industry and government officials said.
    • India's gold demand could fall to 3-year low as prices hit record high
    India's gold demand could fall 10% in 2019 from a year ago to the lowest
level in three years as record high local prices dent retail purchases during a
key festive season, the head of an industry body told Reuters.
    • Start-up of H-Energy's Jaigarh LNG import terminal in India delayed
    Indian natural gas company H-Energy Pvt Ltd will delay the start of its
liquefied natural gas (LNG) import terminal at Jaigarh to the fourth quarter of
2019, the company's Chief Executive Officer Darshan Hiranandani said on
Wednesday.
    • Tata Chemicals plans first UK industrial carbon capture demo plant
    Tata Chemicals Europe plans to build Britain's first industrial-scale carbon
capture and utilisation demonstration plant to trap emissions for use in sodium
carbonate manufacturing, the firm said on Thursday.
    • Airtel Africa to price London listing at bottom of range - bookrunner
    Airtel Africa's planned initial public offering on the London Stock Exchange
is expected to price at 80 pence, the bottom end of its indicated price range,
one of the bookrunners handling the sale said.
    
    
    GLOBAL TOP NEWS
    • Trump says trade deal 'possible' with China's Xi, tariffs could be lower
    U.S. President Donald Trump said on Wednesday that a trade deal with Chinese
President Xi Jinping was possible this weekend but he is prepared to impose U.S.
tariffs on virtually all remaining Chinese imports if the two countries continue
to disagree.
    • No 'boots on the ground' in Iran dispute, Trump says; cites 'unlimited
time' for new deal
    U.S. President Donald Trump said on Wednesday that he was "not talking boots
on the ground" should he take military action against Iran and that he had
"unlimited time" to try to forge an agreement with Tehran.
    • China's industrial profits up 1.1% in May as sales quicken
    Bolstered by improving sales, profits for China's industrial companies rose
in May after shrinking the previous month, bucking a months-long downtrend,
official data showed.

    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were little changed at 11,874.50.
    • The Indian rupee is expected to open lower against the dollar after crude
oil prices jumped following a larger-than-expected drop in U.S. inventories.
    • Indian government bonds are likely to fall in early trade tracking an
overnight gain in crude oil prices and as concerns over fiscal expansion
continue to weigh. The yield on the benchmark 7.26% bond maturing in 2029 is
likely to trade in a range of 6.92% - 6.98% today.
    
    
    GLOBAL MARKETS
    • The S&P 500 ended lower on Wednesday as gains in technology stocks were
offset by a drop in healthcare shares, and investors parsed mixed messages over
prospects for a deal to end a trade war between the United States and China.

    • Asian markets were busy going nowhere as confusion shrouded the chances of
any progress in the Sino-U.S. trade standoff, while bulls scaled back wagers for
a drastic cut in U.S. interest rates.
    • The dollar hovered near a one-week high against the yen, propped up by
hopes of Sino-U.S. trade talk progress though investors were nonetheless
cautious ahead of a meeting between leaders of the two powers in Japan in days
ahead.
    • U.S. Treasury yields rose on Wednesday on hopes that the United States and
China will make progress in trade talks later this week and as traders reduced
bets that the Federal Reserve will cuts rates twice when it meets next month.

    • Oil fell, erasing some of the previous session's strong gains, as traders
eye the G20 summit in Japan and a meeting of OPEC and other oil producers to
decide on an extension of output cuts.
    • Gold traded steady after the previous session's sharp fall, as investors
looked forward to trade talks between Washington and Beijing later this week in
Japan.
    
                   CLOSE        FII INVESTMENTS  EQUITIES     DEBT
 PNDF spot         69.17/69.20  June 26          $15.31 mln   -$9.38 mln
 10-yr bond yield  6.93%        Month-to-date    $195.97 mln  $498.69 mln
                                Year-to-date     $11.39 bln   -$1.63 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 = 69.2150 Indian rupees)
    
    

 (Compiled by Samrhitha Arunasalam in Bengaluru)
  
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below