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Morning News Call - India, July 28

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    FACTORS TO WATCH
    3:15 pm: IDBI Bank management at first-quarter earnings conference call in
Mumbai.
5:00 pm: Yes Bank management at first-quarter earnings conference call in
Mumbai.
5:00 pm: IndusInd Bank MD & Chief Executive Sumant Kathpalia at first-quarter
earnings conference call in Mumbai.
    
    
    LIVECHAT - REUTERS GLOBAL MARKETS FORUM
    Coronavirus vaccine developer, Professor Nikolai Petrovsky at Flinders
University and Chairman at Vaxine P/L in Adelaide, which has its COVAX-19
vaccine in human trials and among the top 17 candidates in the world to get the
vaccine to the market, joins us to discuss the likely vaccine candidates,
potential timeline, key risks and challenges of developing a vaccine for a
mutating virus like SARS-COV-2. To join the conversation at 11:00 am IST, click
here refini.tv/2P8N0Wp
        
    
    INDIA TOP NEWS
    • India to boost drug and medical device production to lessen reliance on
imports
India's chemicals minister on Monday outlined plans to boost local manufacturing
in the bulk drugs and medical device industries to reduce India's reliance on
imports, particularly from China.
• Huawei cuts India revenue target by up to 50%, laying off staff -ET
Huawei Technologies has cut its India revenue target for 2020 by up to 50% and
is laying off more than half of its staff in the country, the Economic Times
reported on Monday, amid calls to boycott Chinese goods.
• Indian oil, France's Total form JV to make superior quality bitumen
Indian Oil has formed an equal joint venture with France's Total to manufacture
and market high-quality bitumen derivatives and specialty products for India's
growing road-building industry.
• Future Retail shares rise after report says Reliance nears deal with parent
Shares of Future Retail jumped on Monday after a report cited that
oil-to-telecoms conglomerate Reliance Industries, led by Asia's richest man
Mukesh Ambani, is close to acquiring Future Group's retail unit.
 
    
    GLOBAL TOP NEWS
    • U.S. Republicans unveil coronavirus plan, slash emergency unemployment
benefit
Senate Republicans on Monday proposed a $1 trillion coronavirus aid package
hammered out with the White House, paving the way for talks with Democrats on
how to help Americans as expanded unemployment benefits for millions of workers
expire this week.
• Second COVID-19 wave forces new travel curbs around the globe
Nations in Asia imposed new restrictions on Monday, while an abrupt British
quarantine on travellers from Spain threw Europe's summer reopening into
disarray, as the world confronted the prospect of a second wave of COVID-19
infections.
• Moderna, Pfizer start decisive COVID-19 vaccine trials, eye year-end launches
Moderna and Pfizer launched two 30,000-subject trials of COVID-19 vaccines that
could clear the way for regulatory approval and widespread use by the end of
this year, the companies said on Monday.
    
    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were trading 0.5% higher at 11,174.00.
• The Indian rupee is likely to rise against the U.S. currency as the dollar
remained under pressure on expectations that the Federal Reserve would reiterate
its highly accommodative stance. 
• Indian government bond yields will likely edge lower in early session, as New
Delhi in a surprise move announced the issuance of a new 10-year paper. The
yield on the benchmark 5.79% bond maturing in 2030 is likely to trade in a range
of 5.83%-5.90%. 
    
    
    GLOBAL MARKETS
    • Wall Street's main indexes closed higher on Monday as investors bet on
some of the market's most high-profile stocks ahead of earnings reports while
they weighed progress in U.S. government stimulus efforts against rising U.S.
COVID-19 cases.
    • Gold rocketed to record peaks at $1,975 while the U.S. dollar plumbed
two-year lows as investors wagered the Federal Reserve would reaffirm its
super-easy policy outlook this week, and a tolerance for higher inflation.

    • The dollar nursed losses, after slumping to a two-year low, as investors
worry about the damage from the coronavirus to the U.S. economy and await the
latest outlook from the Federal Reserve and the passage of a new fiscal rescue
package.
    • U.S. Treasury yields rose back after declines on Monday as investors
showed continued demand for notes at auction and prepared for a dovish message
from the U.S. Federal Reserve later this week.
    • Oil prices rose for a third straight day, buoyed by support for demand
coming from efforts to stimulate the U.S. economy's recovery from the
coronavirus crisis and a weakening of the dollar that makes crude cheaper for
global buyers.
    • Gold jumped more than 1% to a fresh record, as a weaker U.S. dollar and
hopes of more stimulus measures to combat the economic blow from the pandemic
drove investors towards the safe-haven metal.
    
    
                   CLOSE        FII INVESTMENTS  EQUITIES         DEBT
 PNDF spot         74.84/74.87  July 27          3,872.89 crores  (207.41) crores
 10-yr bond yield  5.85%        Month-to-date    6,209 crores     (1,357) crores
                                Year-to-date     (12,304) crores  (1,08,316) crores
  
    (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 = 74.79 Indian rupees)
 
    

 (Compiled by Siddharth Athreya V in Bengaluru)
  
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