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Morning News Call - India, June 8

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    FACTORS TO WATCH
    4:00 pm: Health ministry likely to brief on COVID-19 situation in New Delhi.
    
    LIVECHAT - REUTERS GLOBAL MARKETS FORUM
    Mike Dolan, Reuters Editor at Large, Finance & Markets, discusses the main
events and themes driving global markets this week. To join the conversation at
3:30 pm IST, click on the link: refini.tv/2P8N0Wp
        
    INDIA TOP NEWS
    • India's Reliance says Abu Dhabi Investment Authority invests 56.83 billion
rupees digital unit
    Indian oil-to-telecoms conglomerate Reliance Industries said on
Sunday that the Abu Dhabi Investment Authority (ADIA) will buy 1.16% of its
digital unit Jio Platforms for 56.83 billion rupees.
    
    • India's SBI profit lifted by stake sale in boost to shares
    State Bank of India said on Friday its quarterly net profit had
risen by 327% to 35.81 billion rupees after a one-off gain from the sale of its
stake in SBI Cards and Payment Services, lifting its shares.
        
    • Sun Pharma testing plant-based drug as potential COVID-19 treatment
    Indian drugmaker Sun Pharmaceutical Industries said on Friday it
was testing a plant-derived drug, AQCH, for the potential treatment of COVID-19
as part of a mid-stage trial, with results expected by October.
    
    • Delhi reserves hospital beds for residents as virus cases surge
    The city of New Delhi on Sunday ordered many of its hospital beds to be
reserved solely for residents of the Indian capital, as the number of COVID-19
infections continued to surge.
    
    • India's Vedanta books 125.2 billion rupees loss in Q4 as oil prices plunge
    Indian miner Vedanta Ltd on Saturday reported a net loss of 125.2 billion
rupees for the fourth quarter of its financial year, compared with a profit of
26.15 billion rupees in the same period a year earlier.
    
    • Indian travel firm Yatra scraps merger deal with U.S.-based Ebix
    India's Yatra Online Inc said on Friday it was terminating a pending merger
agreement with U.S. software firm Ebix Inc, and had filed a litigation
seeking "substantial" damages for Ebix's alleged breach of deal terms.

    
    • India rules Tata Steel, SKF, Schaeffler units colluded on bearings prices
    India's antitrust body has ruled that units of Sweden's AB SKF,
Germany's Schaeffler and Tata Steel, along with local firm
National Engineering Industries, are guilty of colluding and fixing prices of
vehicle ball bearings.
    
    • India's Hexaware Technologies gets go-private bid
    IT firm Hexaware Technologies said on Friday it would consider a
bid from its promoter HT Global IT Solutions Holdings Ltd to buy the remaining
stake that it does not own in the company.
    
    
    GLOBAL TOP NEWS
    • Japan's Q1 GDP shrinks less than initial estimate but still faces steep
recession
    Japan's economy shrank less than initially estimated in the first quarter
but the broad impact from the coronavirus crisis is still expected to send the
country deeper into recession.
    
    • Emboldened protesters march again, demanding police reforms after Floyd
killing
    A relaxed confidence infused a new round of street protests in New York and
other major cities on Sunday, a day after some of the largest demonstrations
since the killing of George Floyd in Minneapolis police custody unfolded with no
major violence.
    
    • AstraZeneca contacted Gilead over potential megamerger -Bloomberg News
    Britain's AstraZeneca has approached U.S. rival Gilead Sciences
 about a possible merger to form one the world's largest drug companies,
Bloomberg News reported on Sunday, citing people familiar with the matter.

   
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were 0.7% higher at 10,246.20.
    • The Indian rupee is expected to trade little changed against the U.S.
currency after an unexpected increase in payrolls in the world’s largest economy
boosted risk assets and helped dollar index recover.
    • Indian government bond yields will likely edge lower in early session in
expectation of yield curve supporting measures from the central bank to
alleviate supply concerns in the debt market.    
    
    GLOBAL MARKETS
    • Wall Street surged on Friday after a strikingly upbeat May jobs report
unexpectedly provided the clearest evidence yet that the U.S. economy is headed
for a quicker-than-anticipated recovery.
    • U.S. stock futures and Asian shares advanced after a surprise recovery in
U.S. employment gave further confidence of a quick economic recovery after many
weeks of lockdowns aimed at controlling the coronavirus pandemic.
    • The U.S. dollar fell against the Antipodean currencies and the British
pound after surprising improvement in U.S. labour market data bolstered
expectations for economic recovery, which reduced safe-harbour demand for the
greenback.
    • U.S. Treasury yields spiked up on Friday after a Labor Department report
showed a much lower than expected May unemployment rate.
    • Oil prices rose more than 2% early to their highest in three months after
OPEC and its allies including Russia agreed to extend record oil production cuts
until the end of July.
    • Gold prices slipped as an unexpected improvement in U.S. employment
numbers boosted optimism about economic recovery, boosting risk appetite and
denting the appeal of the safe-haven metal.
    
    
                   CLOSE        FII INVESTMENTS  EQUITIES        DEBT
 PNDF spot         75.53/75.56  June 5           2,624.19 crore  (653.18) crore
 10-yr bond yield  5.82 pct     Month-to-date    20,814 crore    (1,188) crore
                                Year-to-date     (19,531) crore  (1,06,602) crore
 
    
    
    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= 75.64 Indian rupees)
 

 (Compiled by Nachiket Tekawade in Bengaluru)
  
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