Morning News Call – India, August 1

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    FACTORS TO WATCH
    10:00 am: Cochin Shipyard IPO opens for subscription in Mumbai.
    11:00 am: Monsoon session of parliament continues in New Delhi.
    11:00 am: IT & Law Minister Ravi Shankar Prasad to inaugurate conference for
young Superintendents of Police in New Delhi.
    12:30 pm: State Bank of India Managing Director Rajnish Kumar at SBI and
Samsung strategic announcement  in Mumbai.
    3:00 pm: Tech Mahindra annual general meeting  in Mumbai. 
    4:00 pm: NTPC Chairman Gurdeep Singh at annual analysts and investors meet 
in Mumbai.
    4:30 pm: Marico annual general meeting  in Mumbai.
    6:00 pm: Aviation Minister Ashok Gajapathi Raju and Junior Minister Jayant
Sinha at launch of aircraft maintenance engineering program in New Delhi.
    
    INDIA TRADING FORUM - ACCOUNTING STANDARDS - INDIA vs GLOBAL 
    As Indian companies continue to transition to the India AS, problems
continue to linger. Recently the IRDAI deferred the execution of IndAS by two
years. At 11:00 am IST, we speak to Khushroo Panthaky, a veteran in the field,
and current senior partner at Grant Thornton on the challenges companies face
and what can be done to lift the quality of Indian corporate governance. To join
the conversation, click on the link: here
    
    LIVECHAT - FX FOCUS 
    A number of advanced economy central banks are sending increasingly hawkish
signals. Currency expert Mark Farrington, portfolio manager and head of Macro
Currency Group, joins us to discuss whether these tones are correlated or
coordinated, and what that means for the markets. To join the conversation at
11:30 am IST, click on the link: here
    
    
    INDIA TOP NEWS
    • Snapdeal calls off sale to Flipkart in setback for SoftBank
    Snapdeal said it had decided to remain independent and was ending all talks
regarding a sale, bringing the curtain down on months of discussions around a
possible acquisition of the e-commerce firm by bigger rival Flipkart.

    • India's April-June fiscal deficit hits 81 percent of full-year target -
govt
    India's fiscal deficit touched 4.42 trillion rupees during April-June period
or 80.8 percent of the budgeted target for the current fiscal year that ends in
March, government data showed.
    • IndiGo parent reports record profit despite Airbus delays
    InterGlobe Aviation, owner of IndiGo airlines, reported a record quarterly
profit powered by growth in passenger revenue but warned that delays in
deliveries of Airbus's new A320neo aircraft were affecting margins.
    • India raises concerns around Chinese firm Fosun's takeover of Gland-source
    India has privately raised objections to Chinese firm Shanghai Fosun
Pharmaceutical Group's proposed $1.3 billion takeover of Indian drugmaker Gland
Pharma, a source familiar with the matter said.
    • Tech Mahindra first-quarter profit rises beats estimates
    Tech Mahindra Ltd reported a better than expected 7 percent rise in
first-quarter profit, helped by new clients for its digital services business.

    • SBI cuts savings deposit rates to protect margins
    State Bank of India cut deposit rates on the majority of its savings
accounts to a six-year low, just two days ahead of a policy meeting in which the
central bank is expected to cut interest rates.
    • Boeing expects India to order up to 2,100 aircraft over 20 years
    Boeing Co said it expects Indian airlines to order up to 2,100 new aircraft
worth $290 billion over the next 20 years, calling it the highest-ever forecast
for Asia's third-largest economy.
    • Max Financial calls off merger with HDFC Standard Life Insurance 
    Max Financial Services called off its proposed merger with HDFC Standard
Life Insurance Co Ltd, citing delays in the process.
    
    
    GLOBAL TOP NEWS
    • Trump fires communications director Scaramucci in new White House upheaval
    U.S. President Donald Trump ousted recently hired White House communications
chief Anthony Scaramucci on Monday over an obscene tirade, sources familiar with
the decision said, in the latest staff upheaval for the six-month-old
administration.
    • China factory activity accelerates in July on strong export orders -
Caixin PMI
    Growth in China's manufacturing quickened in July, a private survey showed
on Tuesday, as output and new orders rose at the fastest pace since February on
strong export sales.
    • WhatsApp enforcer: Brother of ousted Pakistani PM to bring new style
    Politics is a family business in Pakistan and ousted leader Nawaz Sharif has
looked no further than his brother Shahbaz for a successor, but the prime
minister-in-waiting is no carbon copy and is likely to usher in a new style at
the top of government.
    
    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • The SGX Nifty Futures were trading at 10,118.50, trading up 0.1 percent
from its previous close.
    • Indian government bonds are likely to open steady as investors await the
outcome of the Monetary Policy Committee’s two-day meeting that starts today.
The yield on the benchmark 6.79 percent bond maturing in 2027 is likely to trade
in a 6.45 percent-6.49 percent band today. 
    • The Indian rupee will likely open higher against the dollar, as U.S.
political woes and uncertainty over Federal Reserve rate hike continue to weigh
on the greenback, while regional shares rally after encouraging China
manufacturing data.
    
    
    GLOBAL MARKETS
    • The Dow Jones Industrial Average hit a record closing high on Monday,
helped by Boeing, while selling in Facebook, Alphabet and other technology
companies checked the S&P 500 and pulled the Nasdaq lower.
    • Asian shares ticked up as investors looked to a barrage of economic data
around the world to confirm recent signs the global economy is in robust health
with inflation staying well contained.
    • The dollar inched up from a 2-1/2 year low versus the euro, but its
outlook remained clouded by U.S. political turmoil and doubts about whether
there will be another Federal Reserve rate hike this year.
    • U.S. Treasury yields rose on Monday before a heavy week of data, which
will culminate in Friday's employment report for July, and as investors waited
on Wednesday's refunding announcement for the coming quarter.
    • U.S. oil opened above $50 per barrel for the first time since late May on
Monday, supported by strong fuel demand, but ongoing high supplies from producer
club OPEC kept prices from rising further.
    • Gold prices held steady near seven-week highs, supported by political
uncertainty and a slump in dollar, after registering their biggest monthly gain
in five months in July.
    
    
                   CLOSE        FII INVESTMENTS  EQUITIES      DEBT
 PNDF spot         64.14/64.17  July 31          -$186.54 mln  $45.03 mln
 10-yr bond yield  6.84 pct     Month-to-date    $578.75 mln   $3.14 bln
                                Year-to-date     $9.17 bln     $21.14 bln
    
    
    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 = 64.1700 Indian rupees)
    
    

 (Compiled by Erum Khaled in Bengaluru)
  

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