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Morning News Call - India, January 9

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    FACTORS TO WATCH
    No major events are scheduled for the day.
    
    LIVECHAT-IRAN FOCUS
    Dr. Jim Walsh, Senior Research Associate at MIT's Security Studies Program,
discusses the latest events in the Middle East, the impact on the region, and
how tensions between the U.S. and Iran could play out at 9:30 am IST. To join
the conversation, click on the link: refini.tv/2P8N0Wp
    
    
    INDIA TOP NEWS
    • India to ease mining rules from March to spur investment -minister
India will lift restrictions on the use of coal mined domestically and ease
bidding rules from March, a minister said on Wednesday, as the country aims to
attract foreign mining companies and reduce imports of the fossil fuel.

• India to tweak proposed content regulations to ease burden on some-sources
India plans to amend proposed rules for policing digital content so the toughest
measures apply only to big social media firms, two government sources told
Reuters, in a move that could give relief to other tech players fearful of the
new regulations.
• Tens of thousands strike in India as slowdown hits jobs
Tens of thousands of workers affiliated to trade unions led a strike in parts of
India on Wednesday, disrupting transport and banking services in a protest
against privatisation and the growing impact of an economic slowdown on jobs.

• India restricts refined palm oil imports after Malaysia's criticism of Modi
India imposed restrictions on imports of refined palm oil and palmolein on
Wednesday, a move sources said was retaliation against top supplier Malaysia
after its criticism of India's actions in Kashmir and a new citizenship law.

• India approves funding of $774 million for northeastern gas pipeline
India has approved funding of $774 million for a natural gas pipeline in its
northeast, Oil Minister Dharmendra Pradhan said on Wednesday, as part of a
national gas grid being built to span remote locations.
• Time appropriate for Indian govt to boost spending, widen fiscal deficit -
official
India's current fragile economic conditions call for government action to boost
spending in the coming financial year, allowing for a widening in the fiscal
deficit to bolster growth, a senior official familiar with government
policymaking said.
• India's cotton exports gain pace as overseas price rise, rupee weakens
Cotton exports from India have gained momentum due to a depreciation in the
rupee and as prices have rallied in overseas markets, prompting Asian buyers
such as China, Bangladesh and Vietnam to raise Indian purchases, dealers said.

 
    
    GLOBAL TOP NEWS
    • U.S., Iran both appear to signal desire to avoid further conflict 
President Donald Trump on Wednesday tempered days of angry rhetoric and
suggested Iran was "standing down" after it fired missiles at U.S. forces in
Iraq overnight, as both sides looked to defuse a crisis over the U.S. killing of
an Iranian general.
• Fugitive ex-Nissan boss Ghosn hits out at carmaker and Japan 
Carlos Ghosn, speaking publicly for the first time since his dramatic escape
from Japanese justice, said on Wednesday he had been treated "brutally" by Tokyo
prosecutors and was the victim of an inside job to oust him from the helm of
automaker Nissan.
• Boeing jet crashes in Iran with no survivors, security sources see technical
cause
A Ukrainian airliner fell to earth in a fireball shortly after take-off from
Tehran on Wednesday, killing all 176 people on board in a crash that sparked an
international scramble to establish the cause.
    
    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were 0.9% higher at 12,175.50. 
• The Indian rupee is expected to open higher against the dollar, boosted by a
slump in crude oil prices and upbeat risk appetite after President Donald Trump
indicated no military action in response to Iran’s attack on U.S. forces in
Iraq. 
• Indian government bonds are likely to open higher, tracking a sharp fall in
crude oil prices amid easing geopolitical tensions in the Middle East. The yield
on the benchmark 6.45% bond maturing in 2029 is likely to trade in a range of
6.52%-6.57% today.
    
    
    GLOBAL MARKETS
    • U.S. stocks ended higher on Wednesday, but the day's uneven path showed
investors' sensitivity to any signs of turmoil in the Middle East, with stocks
rising on comments by President Donald Trump and paring gains on reports of
blasts in Baghdad.
    • Asian stocks rebounded and oil edged up as the United States and Iran
backed away from the brink of further conflict in the Middle East and investors
unwound safety plays.
    • The Japanese yen and Swiss franc retreated as the United States and Iran
backed away from the brink of further conflict in the Middle East.
    • Treasury yields rose on Wednesday after tensions between the United States
and Iran eased and investors moved out of safe-haven assets as risk appetite
returned.
    • Oil prices rose, recouping some of the heavy losses from the previous
session as the market rebalanced after Washington and Tehran looked to defuse a
potential Middle East crisis.
    • Gold prices were steady, retreating from the near seven-year peak hit in
the previous session, as a softening rhetoric by the United States and Iran
allayed concerns of a larger military conflict.
    
                   CLOSE        FII INVESTMENTS  EQUITIES        DEBT
 PNDF spot         71.85/71.88  January 8        (612.90) crore  (562.16) crore
 10-yr bond yield  6.56%        Month-to-date    145 crore       (7,173) 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 = 71.51 Indian rupees)
 
    

 (Siddharth Athreya V in Bengaluru)
  
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