Morning News Call - India, August 28

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    10:00 am: Pension Fund Regulatory and Development Authority Chairman
Supratim Bandyopadhyay at FICCI’s annual insurance conference.
    12:30 pm: Principal Economic Advisor Sanjeev Sanyal at FLAME University’s
    Banks Board Bureau meets to decide on SBI chairman vacancy, in New Delhi. 
    • Indian government asks states to borrow $32 billion to meet tax shortfall
    India's federal government on Thursday asked state administrations to raise
$32 billion in loans, as part of a proposal to cover a shortfall in fiscal
receipts that could see a surcharge on the country's luxury goods tax extended
beyond 2022.
    • Indian economy more resilient now vs global financial crisis, says RBI
    The Indian economy remains much stronger amid the coronavirus pandemic than
it was during the global financial crisis over a decade ago even if growth has
slowed, Reserve Bank of India Governor Shaktikanta Das said on Thursday.

    • Indian state refiners halt oil imports from Chinese companies - sources
    Indian state refiners have stopped buying crude oil from China-linked
companies, three sources said, after New Delhi's recent regulation aimed at
restricting imports from countries that it shares a border with.   
    • Indian court halts insolvency proceedings against Reliance's Anil Ambani
    An Indian court on Thursday halted insolvency proceedings against Reliance
Group chairman Anil Ambani, the younger brother of India's richest man, and
barred him from disposing of any of his assets.
    • India's coronavirus pandemic hits fast dwindling tribe in remote islands
    Four members of a dwindling tribe in India's far off Andaman Islands have
tested positive for coronavirus, officials said on Thursday as the country
reported 75,760 new infections, the highest-single-day rise.
    • In landmark shift, Fed rewrites approach to inflation, labor market
    The Federal Reserve on Thursday rolled out a sweeping rewrite of its
approach to its dual role of achieving maximum employment and stable prices,
putting new weight on bolstering the U.S. labor market and less on worries about
too-high inflation.
    • ByteDance asks TikTok to draw up U.S. shutdown contingencies - sources
    China's ByteDance told engineers of its popular short-video app TikTok this
week to make contingencies should it need to shut down its U.S. operations, even
as it works toward divesting them, people familiar with the matter said on
    • U.S., China trade jibes as military tensions worsen
    The United States and China traded jibes as military tensions grow between
the world's two largest economies, with the U.S. defense chief vowing not to
"cede an inch" in the Pacific and China saying Washington was risking soldiers'
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were trading 0.2% higher at 11,620.80.
    • The Indian rupee is expected to trade little changed to the U.S. currency
amid focus on the Reserve Bank of India’s stance after yesterday’s late dollar
selloff and rising Treasury yields following the Federal Reserve’s landmark
changes in monetary policy strategy. 
    • India government bond yields are likely to trade largely unchanged in
early session, ahead of a fresh supply of notes at a weekly debt auction today.
The yield on the benchmark 5.79% bond maturing in 2030 is likely to trade in a
range of 6.12%-6.18% until the auction.
    • The S&P 500 and the Dow advanced but the Nasdaq closed lower on Thursday
as investors digested the U.S. Federal Reserve's new strategy to adopt an
average inflation target and restore the United States to full employment, as
well as a promising development in the fight to contain the coronavirus
    • Japanese shares gained, as a jump in U.S. long-term bond yields following
the Federal Reserve's new long-term policy strategy to allow higher inflation
boosted financials and other battered value stocks.        
    • The dollar held gains against major currencies, after the Federal
Reserve's aggressive new strategy to lift employment and increased tolerance for
higher inflation pushed U.S. bond yields up.
    • Longer-term U.S. Treasury yields climbed to their highest levels in months
on Thursday, steepening the yield curve, after Federal Reserve Chairman Jerome
Powell announced a new policy framework promoting higher inflation to spur
economic recovery and job creation.
    • Oil prices fell as a massive storm raced inland past the heart of the U.S.
oil industry in Louisiana and Texas without causing any widespread damage to
    • Gold steadied as worries over an economic slump caused by the COVID-19
pandemic countered pressure from a jump in U.S. Treasury yields on Federal
Reserve Chair Jerome Powell's offer for more inflation tolerance.
              CLOSE        FII INVESTMENTS  EQUITIES        DEBT
 PNDF spot    73.79/73.82  August 27        1654.09 crores  416.66 crores
 10-yr bond   6.147%       Month-to-date    45,170 crores   (104) crores
                           Year-to-date     34,220 crores   (1,09,539) 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 = 73.98 Indian rupees)

 (Compiled by Pooja Kesavan)