November 28, 2019 / 3:42 AM / 9 days ago

Morning News Call - India, November 28

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
    9:30 am: State Bank of India MD Arijit Basu at ‘Financial Innovation in
Practice’ event in Mumbai.
    
    LIVECHAT - BONDS FOCUS
    Saikat Chatterjee joins us from Reuters in London to discuss moves in the
European government debt market at 5 pm IST. To join the conversation, click on
the link: refini.tv/2P8N0Wp
    
    
    INDIA TOP NEWS
    • SBI's credit card business plans IPO to raise nearly $1.25 billion
    SBI Cards and Payment Services Ltd, the credit card subsidiary of State Bank
of India (SBI), India's largest lender, filed plans for an initial public
offering (IPO) with the markets regulator and stock exchanges on Wednesday.

    
    • Modi's loss in state election raises questions about bullet train
    India's richest state is set to be ruled by parties opposed to Prime
Minister Narendra Modi's nationalist Bharatiya Janata Party, jeopardising a
Japanese-backed bullet-train project opposed by farmers.
    
    • Air India will have to close if not privatised - aviation minister
    India's state-run airline will have to cease operations if it is not
privatised, the country's junior minister for civil aviation said in parliament
on Wednesday, in response to a lawmaker's question on the subject. 
    
    • India's July-Sept economic growth likely to be around 4% - tv channels,
citing government sources
    India's July-September economic growth is likely to be around 4%, two
television channels reported, citing government sources.
    
    • Cost of India refinery project with Aramco, ADNOC estimated at $70 billion
    The cost of a giant oil and petrochemicals refinery project to be built
jointly by Saudi Aramco and Abu Dhabi National Oil Co in India is expected to
reach $70 billion, WAM news agency reported on Wednesday.
    
    • Tata Steel locks horns with union over 3,000 job cuts
    Tata Steel Europe said on Wednesday it had begun talks with its workers on a
"transformation programme" that involves up to 3,000 job cuts, prompting an
angry response from union leaders who said the plan needed to be revised.

    
    
    GLOBAL TOP NEWS
    • U.S. economy picks up in Q3; data surprise on the upside
    U.S. economic growth picked up slightly in the third quarter, rather than
slowing as initially reported, and there are signs the downturn in business
investment may be drawing to a close.​
    
    • Japan's retail sales post sharpest fall since 2015 as tax hike hits demand
    Japan's retail sales tumbled at their fastest pace in more than 4-1/2 years
in October as a sales tax hike prompted consumers to cut spending, raising a red
flag over the strength of domestic demand.
    
    • China warns U.S. of retaliation for law backing Hong Kong protesters
    China warned the United States it would take "firm counter measures" in
response to U.S. legislation backing anti-government protesters in Hong Kong,
and said attempts to interfere in the Chinese-ruled city were doomed to fail.

    
    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were trading 0.2% lower at 12,101.50.
    • The Indian rupee is expected to open little changed against the dollar
amid tepid risk appetite after U.S. President Donald Trump signed a bill in
support of Hong Kong pro-democracy protestors, a step that could possibly derail
trade talks with China.​
    • Indian government bonds are likely to open lower as comments from the
nation’s finance minister indicated the possibility of fiscal slippage in the
current financial year. The yield on the benchmark 6.45% bond maturing in 2029
is likely to trade in a range of 6.47%-6.53% today, a trader with a state-run
bank said.​
    
    
    GLOBAL MARKETS
    • Wall Street's main indexes closed at record levels for a third straight
day in a muted volume session on Wednesday ahead of the Thanksgiving holiday, as
fresh data pointed to an economy on solid footing, while investors remained
cautiously optimistic about a resolution to U.S.-China trade tensions.
    • Asian share markets wobbled as concerns that tensions over Hong Kong may
stymie a U.S.-China trade deal cast a pall over Thanksgiving cheer from positive
U.S. economic data.​
    • The safe-haven yen rose against the dollar after U.S. President Donald
Trump signed into law support for anti-government protesters in Hong Kong, which
could complicate efforts to end the U.S.-China trade war.
    • U.S. Treasury yields rose on Wednesday after data showed that new orders
for key U.S.-made capital goods increased by the most in nine months in October,
boosting confidence that the U.S. economy is solid.
    • Oil prices fell, extending losses from the previous session after official
data showed U.S. crude and gasoline stocks rose against expectations and
production hit a record.
    • Gold rose as investors bought the safe-haven metal amid new doubts about
whether the United States and China will sign a trade deal after President
Donald Trump signed legislation supporting protesters in Hong Kong, irking
Beijing.
    

                   CLOSE        FII INVESTMENTS  EQUITIES        DEBT
 PNDF spot         71.32/71.35  November 27      4,515.33 crore  (1,219.03) crore
 10-yr bond yield  6.47%        Month-to-date    24,656 crore    (1,000) crore
                                Year-to-date     93,209 crore    31,856 crore
 
    (FII investment numbers are in Indian rupees. Source: National Securities
Depository Limited)​
    
    
    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 = 71.25 Indian rupees)
 

 (Compiled By Nidhi C Sai 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