for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up

Morning News Call - India, August 25

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
    3:00 pm: Banking Secretary Debasish Panda at stakeholders' consultation on addressing
financing perspective for auction of coal mines for commercial mining, in New Delhi.

    4:00 pm: Health Ministry to brief on Covid-19 situation in India, in New Delhi.
    
    
    INDIA TOP NEWS
    • Axis Bank cuts stake purchase in Max Life to 17%
    Axis Bank said on Monday it has reduced the size of the stake that it plans to buy in Max
Life Insurance to 17% from 29%.
    • India's coronavirus cases surge to 3.1 million
    India reported 61,408 coronavirus infections in the last 24 hours, taking its total caseload
past 3.1 million, data from the federal health ministry showed.
    • More than 60 survivors pulled from collapsed building in India
Rescue workers pulled more than 60 people alive from the rubble of a collapsed building in an
industrial town near India's financial capital Mumbai, a senior official said on Tuesday, as
rescue efforts continued.
    • Leader of India's opposition Congress holds on after dissent letter
Main opposition Congress party on Monday rejected a request from its leader, Sonia Gandhi, that
she be allowed to step down, after a rare challenge to the Nehru-Gandhi dynasty, which has
dominated the party for seven decades.
    
    
    GLOBAL TOP NEWS
    • Top U.S., Chinese officials optimistic on Phase 1 trade deal after phone call
    Top U.S. and Chinese officials, who spoke by phone on Monday, see progress on resolving
issues over the Phase 1 trade deal reached in January and both sides are committed to the
success of the agreement, the U.S. Trade Representative's Office said.
    • Trump sets convention tone by claiming without evidence Democrats will steal election
Republicans opened their national convention on Monday by outlining a dire portrait of America
if Democrat Joe Biden ousts President Donald Trump in November, adopting the grim tone that
Trump set hours earlier when he warned, without evidence, that Democrats will seek to steal the
election.
    • TikTok sues Trump administration over U.S. ban, calls it an election ploy
    TikTok and one of its employees on Monday separately sued U.S. President Donald Trump's
administration over his executive order banning transactions in the United States with the
popular short-form video-sharing app, calling it a pretext to fuel anti-China rhetoric as he
seeks re-election.
    
    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were trading 0.3% higher at 11,507.20.
    • The Indian rupee is expected to rise against the U.S. currency as yesterday’s selloff on
the dollar prompts traders to increase wagers on the local currency.
    • India government bond yields are likely to open higher, ahead of a fresh supply of state
debt and amid the absence of central bank measures to ease supply concerns. The yield on the
benchmark 5.79% bond maturing in 2030 is likely to trade in a range of 6.21%-6.28% today.
    
    
    GLOBAL MARKETS
    • The S&P 500 and the Nasdaq reached new record closing highs on Monday as optimism over
potential medical advances in the war against the coronavirus pandemic pushed all three major
U.S. stock indexes higher.
    • Asia's stock markets were mostly higher as investors cheered signs of progress in
U.S.-China trade negotiations and following a fresh Wall Street rally.
    • The dollar held firm, shrugging off selling pressure from a move higher in equities, as
investors seemed to temper their bearish bets against the greenback ahead of a Thursday speech
from U.S. Federal Reserve Chair Jerome Powell.
    • Stable U.S. Treasury yields on Monday showed traders preparing for a week that will
include of a barrage of new supply and possible insight from the Federal Reserve on how it will
support the economy.
    • Crude oil prices were mixed as traders weighed massive production cuts in the U.S. Gulf
Coast from Tropical Storms Marco and Laura against rising coronavirus cases in Asia and Europe.

    • Gold prices edged lower, weighed down by a stronger U.S. dollar and as hopes for
coronavirus treatments lifted risk sentiment.
    
    
                   CLOSE        FII INVESTMENTS  EQUITIES       DEBT
 PNDF spot         74.31/74.34  August 24        437.77 crores  968.22 crores
 10-yr bond yield  6.22%        Month-to-date    40,700 crores  389 crores
                                Year-to-date     29,750 crores  (1,09,046) 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 = 69.39 Indian rupees)
 
for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up