June 14, 2019 / 3:26 AM / 10 days ago

Morning News Call - India, June 14

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    FACTORS TO WATCH
    9:30 am: State Bank of India Managing Director Arijit Basu, Bank of Baroda
MD & CEO P.S. Jayakumar and other bankers at IMC’s Banking & Finance Conference
in Mumbai.
    12:00 pm: Government to release May wholesale price inflation data in New
Delhi.
    6:00 pm: Government likely to release May trade data in New Delhi.    
    
    LIVECHAT - CHARTS & CHAT
    Reuters Stocks Buzz writer and chartist Terence Gabriel calls out risks and
opportunities in global markets via the charts at 8:00 pm IST. To join the
conversation, click on the link: refini.tv/2P8N0Wp
    
    
    INDIA TOP NEWS
    • India alleges 22 audit violations by Deloitte, KPMG arm in fraud case
    India detected at least 22 violations of auditing standards by Deloitte
Haskins & Sells and a KPMG affiliate while investigating a fraud at a financial
company, leading it to seek a five-year ban on the auditors, according to
government legal filings seen by Reuters.
    • India tightens credit rating norms after defaults, downgrades
    India's market regulator on Thursday ordered enhanced disclosure norms for
credit rating agencies in an effort to increase transparency as the country
reels under a slew of rating downgrades and defaults that have roiled debt and
equity markets.
    • Adani wins green light for long awaited Australian coal mine
    Adani Enterprises on Thursday received the go-ahead to start construction of
a controversial coal mine in outback Australia, after a state government
approved a final permit on ground water management.
    • Hexaware Technologies buys U.S.-based Mobiquity for $182 million
    Indian IT services company Hexaware Technologies said it bought privately
owned Mobiquity for $182 million, to expand its cloud and automation service
offerings.
    • Jet Airways plunges as bourse moves to limit speculative trading
    Shares of Jet Airways sunk over 23% to a record low on Thursday after
India's largest stock exchange said the carrier would soon no longer be traded
in the derivatives market, while day-trading in the stock would also be barred,
in a bid to curb speculative trading in the troubled company.
    • Facebook to buy stake in e-commerce start-up Meesho
    Facebook is buying a stake in Indian e-commerce start-up Meesho, the head of
the U.S. tech giant's Indian business said on Thursday, looking to deepen its
reach in one of the world's biggest internet markets.
    • Reliance Capital rejects PwC's observations after auditor quits
    Reliance Capital said on Thursday the observations of global audit firm PwC
about its fiscal accounts were "completely baseless and unjustified", after PwC
in a surprise move resigned earlier this week as the auditor of the non-banking
financial company.
    • Uber enlists "Qute" to take on India's choked, polluted roads
    Uber Technologies has launched a new ride-hailing service in India's tech
capital Bengaluru that will use miniature gas-powered cars called "Qute" to win
over commuters stressed out by the sprawling city's heavily-congested streets.

        
    
    GLOBAL TOP NEWS
    • U.S. blames Iran for tanker attacks in Gulf of Oman, Iran rejects
assertion
    The United States blamed Iran for attacks on two oil tankers in the Gulf of
Oman on Thursday that drove up oil prices and raised concerns about a new
U.S.-Iranian confrontation, but Tehran bluntly denied the allegation.

    • Over 600 U.S. companies urge Trump to resolve trade dispute with China -
letter
    Walmart, Target and more than 600 other companies urged U.S. President
Donald Trump in a letter on Thursday to resolve the trade dispute with China,
saying tariffs hurt American businesses and consumers.
    • Huawei says it is readying possible Hongmeng software roll-out
    An executive of China's Huawei, which has been banned from working with U.S.
tech firms, said on Thursday that the telecoms giant is in the process of
potentially launching its "Hongmeng" operating system (OS) to replace the U.S.
Android OS. 
    
    
    LOCAL MARKETS OUTLOOK
    (As reported by NewsRise)
    • SGX Nifty nearest-month futures were 0.19% lower at 11,897.50. 
    • The Indian rupee is expected to open little changed against the dollar
with traders eyeing crude oil prices and prospects of an interest rate cut by
the Federal Reserve at next week’s meeting. 
    • Indian government bonds are likely rise in early session as the central
bank unexpectedly announced an open market purchase of bonds next week. 

        
    GLOBAL MARKETS
    • U.S. stocks rose on Thursday after two days of declines, as energy shares
rebounded with oil on concerns of a supply disruption following attacks on two
tankers in the Gulf of Oman.
    • Asian stocks held their ground after Wall Street gained on a surge in oil
prices as attacks on tankers in the Gulf of Oman stoked U.S.-Iran tensions and
raised concerns over supply flows through one of the world's main sea lanes.

    • The dollar held steady early in Asia, and was set to show a weekly rise as
investor focus turned to next week's Federal Reserve meeting for cues on a
possible interest rate cut in light of rising risks to trade and global growth.

    • Increased expectations of Federal Reserve interest rate cuts pulled
short-dated yields lower on Thursday, steepening the yield curve ahead of retail
sales data on Friday and the meeting of Fed policymakers next week.
    • Oil fell after sharp gains in the previous session when prices were
boosted after attacks on two oil tankers in the Gulf of Oman stoked concerns of
reduced crude flows through one of the world's key shipping routes.
    • Gold prices rose to their highest in a week, supported as weak U.S.
economic data stoked expectations the Federal Reserve would cut interest rates.

    
    
                   CLOSE        FII INVESTMENTS  EQUITIES    DEBT
 PNDF spot         69.46/69.49  June 13          $24.73 mln  $12.11 mln
 10-yr bond yield  7.01%        Month-to-date    $73.67 mln  $896.93 mln
                                Year-to-date     $11.26 bln  -$1.23 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 = 69.56 Indian rupees)
    

 (Compiled by Hrithik Kiran Bagade in Bengaluru)
  
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